Question: Using the information provided for Netflix, Inc., calculate the debt-to-equity ratio at December 31, 2007, and December 31, 2008. Provide an explanation of what this

Using the information provided for Netflix, Inc., calculate the debt-to-equity ratio at December 31, 2007, and December 31, 2008. Provide an explanation of what this ratio measures and whether the ratio has improved from 2007 to2008.

Using the information provided for Netflix, Inc., calculate the debt-to-equity

Netflix, Inc. Consolidated Balance Sheet (adapted) December 3 2007 2008 (dollars in thotisands) Assets Total current assets Total assets $432,423 . $678,998 $361,447 Liabilities and Shareholders Eqnity Total current liabilities Total liabilities Total shareholders' equity Total liabilities and shareholders' equity 208,905 249,186 429.812 $216,017 270,791 347.155 5617.946

Step by Step Solution

★★★★★

3.52 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

The debttoequity ratio is a measure of the extent to which the firm is leveraged ... View full answer

blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

323-B-A-L (4253).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

Q:

Calculate the debt to equity ratio for Blue Line Studio Inc. Below is an excerpt from their balance sheet line items: Current liabilities 342,000 Long-term debt 688,000 Total equity 750,000 a....

Q:

Using the information provided for eBay, calculate the debt-to-equity ratio at December 31, 2007, and December 31, 2008. (Notice that eBay puts the most recent year in the right column rather than...

Q:

Using the information provided in BE4-2, prepare a condensed multiple-step income statement for Brisky Corporation.

Q:

A company acquires the assets and liabilities of another company. The fair value of the acquired companys identifiable net assets is $5,000,000. The acquisition transaction includes the following:...

Q:

Sleeping bag production for the Sleepwell Company has cost C(Q) = Q3 - 10Q2 + 35Q + 196. The marginal cost curve for their production is MC(Q) = 3Q2 - 20Q + 35. (a) Identify both the shutdown point...

Q:

7-5 Prepare a schedule of accounts receivable.

Q:

3. Check your biases. Are boys getting more opportunities for reinforcement than girls, or vice versa? How about students of different races?

Q:

Ted Thorndikes friend Mary Stuart teaches a statistics course at the local university, and she has asked Ted to stop in and talk to the class about statistics as it relates to sports. Among the...

Q:

Exercise 8-37 (Algo) Compute Costs per Equivalent Unit: Weighted-Average Method (LO 8-2, 3) The following cost information is available for July for the Crest Plant at Calvert Company: Materials are...

Q:

Kimberly-Clark Corporation and Procter & Gamble Company reported the following information about inventory in their financial statements and footnotes. Use this information to answer the following...

Q:

Express the partial comparative income statements that follow as commonsize statements, and comment on the changes from 20x6 to 20x7. (Round computations to one decimal place.) Davis Company Partial...

Q:

Explain the principles of delegation

Q:

State the importance of motivation

Q:

Discuss the various steps involved in the process of planning

Q:

What are the challenges associated with tunneling in urban areas?

Q:

What are the main differences between rigid and flexible pavements?

Q:

Where are the biggest capital markets for placing securities? Roughly, how do they compare in size?

Q:

Study the pictures/images below. Obviously these was focus on LT sociology, anthropology and poltical science. Try to do some analysis by finding clues that are synonymous with the main concepts....

Q:

On October 2, Bedrock Corporation (a calendar-year corporation) acquired and placed into service 7-year used business equipment costing $890,000. It made no other acquisitions during the year. What...

Q:

The statements below are for two firms in the same line of business (in millions of dollars). a. Analyze the risk drivers in these income statements, Which firm looks more risky for stockholders?...

Q:

Below are income statements and balance sheets for three firms. Rank these firms on what you perceive to be the relative riskiness of their equity from these statements. What features in the...

Q:

Two firms, Firm A and Firm B, have $1,000 million invested in net operating assets in the same line of business. Firm A has $25 million in net financial obligations while Firm B has $600 million in...

Q:

Required information [The following information applies to the questions displayed below.] The following information pertains to Rossow Corporation and its investee Reimer Company: a. Rossow...

Q:

Hudson Community College enrolls students in two departments, Liberal Arts and Sciences. The college also has two service departments, the Library and the Computing Services Department. The usage of...

Q:

You own a portfolio that has $1,500 invested in Stock A and $2,600 invested in Stock B. Assume the expected returns on these stocks are 10 percent and 16 percent, respectively. Required: What is the...

Related Book

Financial Accounting: A Business Process Approach 3rd edition by Jane L. Reimers