Structured Finance Chapter 3 & 4

Structured Finance Chapter 3 & 4 - \ Structured Finance...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
\ Structured Finance Chapter 3 & 4
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
3-1 DSO = 20 days; ADS = $20,000; AR = ? . 000 , 400 AR = $ 000 , 20 $ AR = 20 365 S AR DSO = 3-2 A/E = 2.5; D/A = ? E A 1 - 1 = A D 5 2. 1 - 1 = A D A D = 1 – 0.40 = 0.60 = 60% 3-3 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 0 = $32; M/B = ? Book value = 000 , 000 , 800 000 , 000 , 000 , 6 $ = $7.50. M/B = 50 . 7 $ 00 . 75 $ = 10. 3-4 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 . 3-5 PM = 3%; EM = 2.0; Sales = $100,000,000; Assets = $50,000,000; ROE = ? ROE = PM TATO EM = NI/S S/TA A/E = 3% $100,000,00/$50,000,000 2 = 12%. 3-6 ROA = 10%; PM = 2%; ROE = 15%; S/TA = ?; A/E = ? ROA = NI/A; PM = NI/S; ROE = NI/E
Background image of page 2
ROA = PM × S/TA NI/A = NI/S S/TA 10% = 2% S/TA S/TA = 5. ROE = PM
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

Structured Finance Chapter 3 & 4 - \ Structured Finance...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online