Question: Last year the Rondoelea Products Company had 140 million in
Last year the Rondoelea Products Company had $140 million in annual sales and a net profit margin of 10 percent. In addition, Rondoelea’s average tax rate was 30 percent. If Rondoelea had $40 million of debt outstanding with an average interest rate of 10 percent, what is the firm’s times interest earned ratio?
Answer to relevant QuestionsThe most recent balance sheet of Raconteurs, Inc. (in millions) is as follows:Current assets Cash and marketable securities .......... $ 10Accounts receivable ............. 40Inventory ................. 60Total ...The Mitchem Marble Company has a target current ratio of 2.0 but has experienced some difficulties financing its expanding sales in the past few months. At present, the firm has a current ratio of 2.5 and current assets of ...Using the following financial statements for Pamplin, Inc:a. Compute the following ratios for both 2012 and 2013 using the financial statements that follow. Industry NormCurrent ratio ............ 5.00Acid-test (quick) ...Leslie Mosallam, who recently sold her Porsche, placed $10,000 in a savings account paying annual compound interest of 6 percent.a. Calculate the amount of money that will accumulate if Leslie leaves the money in the bank ...Sarah Wiggum would like to make a single investment and have $2 million at the time of her retirement in 35 years. She has found a mutual fund that will earn 4 percent annually. How much will Sarah have to invest today? What ...
Post your question