PenateM_Final Exam.docx - Corporate Finance Spring...

This preview shows page 1 - 5 out of 12 pages.

[HONOR CODE PROVISION] Student Signature ______________ ______________ ___________ Exam Instructions : This is an open-book Corporate Finance Spring 2014 BY SIGNING THIS PAPER I ACKNOWLEDGE THAT THE FAILURE TO FOLLOW THE INSTRUCTIONS BELOW WILL CONSTITUTE A VIOLATION OF THE GEORGIA REGENTS UNIVERSITY HONOR CODE. MY SIGNATURE IS A PROMISE THAT I HAVE PROPERLY FOLLOWED THESE INSTRUCTIONS. Student Signature ___900036 703_________ ______________ _____________ Exam Instructions : This is an open-book take-home
Total Grade: Name Melissa L. Penate Email: [email protected] Grade 1. Reliable Auto Parts has 5,000 shares of common stock outstanding. The company also has the following amounts in revenue and expense accounts. (7 pts)Calculate(a)gross profits. (b)operating profits. (c)net profits before taxes. (d)net profits after taxes (assume a 40 percent tax rate). (e)cash flow from operations. (f)earnings available to common stockholders. (g)earnings per share. Grade2. On December 31, 2004, the Bradshaw Corporation had $485,000 as an ending balance for its retained earnings account. During 2005, the corporation declared a $3.50/share dividend to its stockholders. The Bradshaw Corporation has 35,000 shares of common stock outstanding. When the books were closed for 2005 year end, the corporation had a final retained earnings balance of $565,000. What was the net profit earned by Bradshaw Corporation during 2005? (3 pts) Grade3. The Sunshine Company had a retained earnings balance of $850,000 at the beginning of 2005. By the end of 2005, the company's retained earnings balance was $950,000. During 2005, the company earned $245,000 as net profits after paying its taxes. The company was then able to pay its preferred stockholders $45,000. Compute the common stock dividend per share in 2005 assuming 10,000 sharesof common stock outstanding. (3 pts) Page 1 of 12 FINAL EXAM
Grade 4. Given the following balance sheet, income statement, calculate the Pulp, Paper, and Paperboard, Inc. financial ratios for the most recent year. (12 pts)Income Statement-Pulp, Paper and Paperboard, Inc. For the Year Ended December 31, 2005Balance Sheet-Pulp, Paper and Paperboard, Inc. December 31, 2005Financial Ratios For Pulp, Paper and Paperboard, Inc.Ratio2005Ratio2005Current Ratio1.67Times Interest Earned3.05Quick Ratio0.96Gross Profit Margin0.18Inventory Turnover7Operating Profit Margin0.051Average Collection Period41.57 daysNet Profit Margin0.025Total Asset Turnover2.08Return on Total Assets0.05Debt Ratio0.533Return on Equity0.111 Page 2 of 12 FINAL EXAM
Grade

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture