FIN 419 help A Clearer path to student success/uophelp.com FIN 419 help A Clearer path to student success/uop | Page 41
g . h . i . j .
Receivables Turnover – sales / accounts receivable Total Asset Turnover – sales / total assets Profit Margin – net income / sales Return on Equity – net income / total owner ’ s equity
8 . Find the industry ratios for the company using the Dun & Bradstreet ® Key Business Ratios . Locate the Dunn & Bradstreet Database by accessing the University of Phoenix Library and then locating Library Resources . Click on Alphabetical List of Resources and find Dunn and Bradstreet . Click on the link and search for your selected company . ISC is a manufacturing company of plastic parts for the automotive industry – try and select a company closest to our company . Please use 3089 Plastic Products and NAICS of 326199 for manufacturing using 2014 data and the lower amount . Only provide the Quick and Current Ratios from 2015 / 2016 from problem 7 and add the ratios from Dun & Bradstreet to compare and briefly suggest what direction ICS should head into with the comparison .
9 . ICS plans to expand their operations as stated in Problem 5 – and are considering taking the loan – however , they have a few investors that are interested in lending money for this venture . They need a total of $ 775,000 , and if they lend the money today , ICS will repay it , with interest , at the end of the year . Company A agrees to lend $ 300,000 and they require 5 % interest , Company B will lend $ 200,000 at 6 % interest , and Company C will loan the balance but they won ’ t settle for less than 10 % interest . What is the weighted average cost of this capital ( WACC )?
10 . In 250-350 words , explain what cash flow is and why cash is so important to a business . Include in your analysis the cash that ICS maintains on hand and whether it is sufficient or not .
g . h . i . j .
Receivables Turnover – sales / accounts receivable Total Asset Turnover – sales / total assets Profit Margin – net income / sales Return on Equity – net income / total owner ’ s equity
8 . Find the industry ratios for the company using the Dun & Bradstreet ® Key Business Ratios . Locate the Dunn & Bradstreet Database by accessing the University of Phoenix Library and then locating Library Resources . Click on Alphabetical List of Resources and find Dunn and Bradstreet . Click on the link and search for your selected company . ISC is a manufacturing company of plastic parts for the automotive industry – try and select a company closest to our company . Please use 3089 Plastic Products and NAICS of 326199 for manufacturing using 2014 data and the lower amount . Only provide the Quick and Current Ratios from 2015 / 2016 from problem 7 and add the ratios from Dun & Bradstreet to compare and briefly suggest what direction ICS should head into with the comparison .
9 . ICS plans to expand their operations as stated in Problem 5 – and are considering taking the loan – however , they have a few investors that are interested in lending money for this venture . They need a total of $ 775,000 , and if they lend the money today , ICS will repay it , with interest , at the end of the year . Company A agrees to lend $ 300,000 and they require 5 % interest , Company B will lend $ 200,000 at 6 % interest , and Company C will loan the balance but they won ’ t settle for less than 10 % interest . What is the weighted average cost of this capital ( WACC )?
10 . In 250-350 words , explain what cash flow is and why cash is so important to a business . Include in your analysis the cash that ICS maintains on hand and whether it is sufficient or not .