Out of Asset tangibility, firm size, firm risk, profitability, growth opportunity, liquidity, and taxation, Identify the four most important firm-specific factors that affect capital structure decisions. Using the last four years of financial statements of the company Bobs Trucks pty Ltd. Calculate these factors and the debt-to-equity ratio of this company.

This is the data. Please help in figuring firm-specific factors and debt to equity ratio.

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($millions) Current Assets Cash Receivables Prepaid Expenses Inventories Investments NCA Held Sale Other Total Current Assets Non-Current Assets Receivables Inventories Investments PP&E Intangibles(ExGW) Goodwill Future Tax Benefit Other Total NCA Total Assets Current Liabilities Account Payable Short-Term Debt Provisions NCL Held Sale Other Total Curr. Liabilities Non-Current Liabilities Account Payable Long-Term Debt Provisions Other Total NCL Total Liabilities Shareholders Equity Share Capital Reserves Retained Earnings Other Equity Convertible Equity SE Held Sale Outside Equity Total Equity 12/16 55.49 49.07 0.00 0.00 0.00 0.00 15.24 119.80 0.00 0.00 5.00 2.97 27.07 14.69 8.85 1.62 60.20 179.99 21.43 8.09 1.26 0.00 0.00 30.79 0.00 0.00 0.11 0.00 0.11 30.89 154.61 0.58 -6.09 0.00 0.00 0.00 149.10 06/17 29.60 98.39 0.96 0.00 0.00 0.00 19.87 148.82 0.00 0.00 0.00 4.46 27.98 40.78 16.81 1.48 91.51 240.33 22.84 0.00 8.64 0.00 0.14 31.62 0.00 46.75 1.87 0.00 48.62 80.24 171.41 1.89 -13.22 0.00 0.00 0.00 160.08 06/18 25.46 239.07 0.00 0.00 0.00 0.00 41.06 305.59 0.00 0.00 0.00 4.01 48.92 23.58 9.26 0.88 86.64 392.22 42.92 0.05 3.38 0.00 0.25 46.59 0.00 161.56 0.52 0.00 162.08 208.67 192.63 13.12 -22.20 0.00 0.00 0.00 183.56 06/19 231.46 452.70 0.00 0.00 0.00 0.00 12.13 696.29 0.00 0.00 0.00 4.21 49.26 39.81 27.28 3.62 124.18 820.47 109.98 0.60 7.96 0.00 1.87 120.40 0.00 49.63 1.92 0.00 51.55 171.95 674.77 41.36 -70.58 0.00 0.00 0.00 2.96 648.52 ($millions) Current Assets Cash Receivables Prepaid Expenses Inventories Investments NCA Held Sale Other Total Current Assets Non-Current Assets Receivables Inventories Investments PP&E Intangibles(ExGW) Goodwill Future Tax Benefit Other Total NCA Total Assets Current Liabilities Account Payable Short-Term Debt Provisions NCL Held Sale Other Total Curr. Liabilities Non-Current Liabilities Account Payable Long-Term Debt Provisions Other Total NCL Total Liabilities Shareholders Equity Share Capital Reserves Retained Earnings Other Equity Convertible Equity SE Held Sale Outside Equity Total Equity 12/16 55.49 49.07 0.00 0.00 0.00 0.00 15.24 119.80 0.00 0.00 5.00 2.97 27.07 14.69 8.85 1.62 60.20 179.99 21.43 8.09 1.26 0.00 0.00 30.79 0.00 0.00 0.11 0.00 0.11 30.89 154.61 0.58 -6.09 0.00 0.00 0.00 149.10 06/17 29.60 98.39 0.96 0.00 0.00 0.00 19.87 148.82 0.00 0.00 0.00 4.46 27.98 40.78 16.81 1.48 91.51 240.33 22.84 0.00 8.64 0.00 0.14 31.62 0.00 46.75 1.87 0.00 48.62 80.24 171.41 1.89 -13.22 0.00 0.00 0.00 160.08 06/18 25.46 239.07 0.00 0.00 0.00 0.00 41.06 305.59 0.00 0.00 0.00 4.01 48.92 23.58 9.26 0.88 86.64 392.22 42.92 0.05 3.38 0.00 0.25 46.59 0.00 161.56 0.52 0.00 162.08 208.67 192.63 13.12 -22.20 0.00 0.00 0.00 183.56 06/19 231.46 452.70 0.00 0.00 0.00 0.00 12.13 696.29 0.00 0.00 0.00 4.21 49.26 39.81 27.28 3.62 124.18 820.47 109.98 0.60 7.96 0.00 1.87 120.40 0.00 49.63 1.92 0.00 51.55 171.95 674.77 41.36 -70.58 0.00 0.00 0.00 2.96 648.52

Answer rating: 100% (QA)

The four most important firmspecific factors that affect capital structure decisions are 1 ... View the full answer