Question: Show in excel with functions Problems Copy the Mike Owjai Manufacturing financial statements from Problem 1 in Chapter 2 into a new workbook 1. Set
Problems Copy the Mike Owjai Manufacturing financial statements from Problem 1 in Chapter 2 into a new workbook 1. Set up a ratio worksheet similar to the one in Exhibit 4-6, page 131, a. and calculate all of the ratios for Mike Owjai Manufacturing. b. Identify at least two areas of potential concern using the ratios. Identify at least two areas that have shown improvement. c. In 2014 Mike Owjai Manufacturing's ROE increased. Explain, in words, why this increase occurred using the DuPont method from equation (4-29). Now use the extended DuPont method from (4-33). Mike Owjai Manufacturing has shown an accounting profit in each of the past two years. Calculate the economic profit for these years and d. compare it to net income. The WACC is 11%. Using Altman's model for privately held firms, calculate the Z-score for Mike Owjai Manufacturing. Does it appear that the firm is in e. imminent danger of bankruptcy? Problems Copy the Mike Owjai Manufacturing financial statements from Problem 1 in Chapter 2 into a new workbook 1. Set up a ratio worksheet similar to the one in Exhibit 4-6, page 131, a. and calculate all of the ratios for Mike Owjai Manufacturing. b. Identify at least two areas of potential concern using the ratios. Identify at least two areas that have shown improvement. c. In 2014 Mike Owjai Manufacturing's ROE increased. Explain, in words, why this increase occurred using the DuPont method from equation (4-29). Now use the extended DuPont method from (4-33). Mike Owjai Manufacturing has shown an accounting profit in each of the past two years. Calculate the economic profit for these years and d. compare it to net income. The WACC is 11%. Using Altman's model for privately held firms, calculate the Z-score for Mike Owjai Manufacturing. Does it appear that the firm is in e. imminent danger of bankruptcy
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