fm4 4 - = $32; M/B = ? Book value = 000 , 000 , 800 000 ,...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Answers and Solutions: 4 - 4 SOLUTIONS TO END-OF-CHAPTER PROBLEMS 4-1 DSO = 20 days; ADS = $20,000; AR = ? . 000 , 400 AR = $ 000 , 20 $ AR = 20 365 S AR DSO = 4-2 A/E = 2.5; D/A = ? %. 40 = 40 0. = A D 5 2. 1 - 1 = A D E A 1 - 1 = A D 4-3 TA = $10,000,000,000; CL = $1,000,000,000; LT debt = $3,000,000,000; CE = $6,000,000,000; Shares outstanding = 800,000,000; P
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: = $32; M/B = ? Book value = 000 , 000 , 800 000 , 000 , 000 , 6 $ = $7.50. M/B = 50 . 7 $ 00 . 75 $ = 10. 4-4 EPS = $1.50; CFPS = $3.00; P/CF = 8.0 ; P/E = ? P/CF = 8.0 P/$3.00 = 8.0 P = $24.00. P/E = $24.00/$1.50 = 16.0 ....
View Full Document

Ask a homework question - tutors are online