Exam 2: Introduction to Financial Statement Analysis

Use the table for the question(s) below. -Refer to the statement of financial position above.If on December 31,2014 Luther has 8 million shares outstanding trading at $15 per share,then what is Luther's market-to-book ratio?

Use the table for the question(s) below. -Refer to the income statement above.Luther's return on equity (ROE)for the year ending December 31,2015 is closest to:

Which ratio would you use to measure the financial health of a firm by assessing that firm's leverage?

CIBC has 110 million shares outstanding,with a current share price of $94.50 per share.If the firm's market-to-book ratio is 7.85,what is the firm's book value of equity?

Farhan's Fences has retained earnings of $2.5 million,after paying dividends of $1.5 million.What was the firm's payout ratio?

How does a firm select the date for preparation of its statement of financial position?

A firm has ROE of 18.5%,net profit margin of 3.2% and an asset turnover ratio of 0.7.What is the firm's equity multiplier?

What are the four financial statements that all public companies must produce?

What is a firm's net income?

Use the table for the question(s) below. Statement of Financial Position -If the above statement of financial position is for a retail company,what indications about this company would best be drawn from the changes in the statement of financial position between 2014 and 2015?

A firm has EBIT of $15 million,interest expense of $1 million,and pays taxes of $4 million.The firm has a market-to-book ratio of 5.75.If the firm has 30 million shares outstanding at a current price of $12 per share,what is its ROE?

Shareholders' equity is the difference between a firm's assets and liabilities,as shown on the statement of financial position.

Ivanhoe Energy Inc has 36 million shares outstanding,with a current share price of $21.45 per share.If the firm's book value of equity is $80 million,what is its market-to-book ratio?

The statement of financial position shows the assets,liabilities,and stockholders' equity of a firm over a given length of time.

Use the table for the question(s) below. -Refer to the income statement above.For the year ending December 31,2015 Luther's earnings per share are closest to:

A firm has gross profit of $142 million,EBIT of $94 million,and net income of $55 million.If the firm has 28 million shares outstanding,what is the firm's EPS?

Use the table for the question(s) below. Statement of Financial Position -The above diagram shows a statement of financial position for a certain company.All quantities shown are in millions of dollars.What is the company's net working capital?

A firm has 41 million shares outstanding with a current share price of $4.30 The firm has a market-to-book ratio of 8.5 and a book debt-equity ratio of 2.2.If the firm currently has $18 million in cash,what is its enterprise value?

Use the table for the question(s) below. -Refer to the statement of financial position above.When using the book value of equity,the debt-equity ratio for Luther in 2015 is closest to:

Use the table for the question(s) below. -Refer to the income statement above.Luther's earnings before interest,taxes,depreciation,and amortization (EBITDA)for the year ending December 31,2015 is closest to: