Business, 10.03.2020 07:42 jaelynnm

Assume that market and book values are equal for current assets, current liabilities, and debt and other long-term liabilities. SIMPLIFIED BALANCE SHEET FOR FEDEX May 30, 2013 (Figures in $ millions) Assets Liabilities and Shareholders’ equity Current assets $ 11,274 Current liabilities $ 5,750 Plant, equipment and other long-term assets 22,293 Debt and other long-term liabilities 10,419 Shareholders’ equity 17,398 Total assets $ 33,567 Total liabilities and equity $ 33,567 Note: Shares of stock outstanding: 316.6 million. Book value of equity (per share): 17,398 / 316.6 = $54.95. The stock price is $103.39.

a. Construct a market-value balance sheet from the above data. (Be sure to list the assets and liabilities in order of their liquidity. Enter your answers in millions rounded to 2 decimal places.)

SIMPLIFIED MARKET VALUE BALANCE SHEET FOR FEDEX
May 30, 2013
(Figures in $ millions)
Assets Liabilities and Shareholders’ equity
(Click to select)Current assetsCurrent liabilitiesDebt and other long-term liabilitiesPlant, equipment and other long-term assetsShareholders’ equity $ (Click to select)Current assetsCurrent liabilitiesDebt and other long-term liabilitiesPlant, equipment and other long-term assetsShareholders’ equity $
Growth opportunities (Click to select)Current assetsCurrent liabilitiesDebt and other long-term liabilitiesPlant, equipment and other long-term assetsShareholders’ equity
(Click to select)Current assetsCurrent liabilitiesDebt and other long-term liabilitiesPlant, equipment and other long-term assetsShareholders’ equity (Click to select)Current assetsCurrent liabilitiesDebt and other long-term liabilitiesPlant, equipment and other long-term assetsShareholders’ equity
Total assets $ Total liabilities and equity $
b. How much extra value shows up on the asset side of the balance sheet? (Enter your answer in millions rounded to 2 decimal places.)

Extra value on the asset side $ million

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 01:50

Amanda rice has just arranged to purchase a $640,000 vacation home in the bahamas with a 20 percent down payment. the mortgage has a 7 percent apr compounded monthly and calls for equal monthly payments over the next 30 years. her first payment will be due one month from now. however, the mortgage has an eight-year balloon payment, meaning that the balance of the loan must be paid off at the end of year 8. there were no other transaction costs or finance charges. how much will amanda’s balloon payment be in eight years

Answers: 3

Answer

Business, 22.06.2019 14:10

Carey company is borrowing $225,000 for one year at 9.5 percent from second intrastate bank. the bank requires a 15 percent compensating balance. the principal refers to funds the firm can effectively utilize (amount borrowed − compensating balance). a. what is the effective rate of interest? (use a 360-day year. input your answer as a percent rounded to 2 decimal places.) b. what would the effective rate be if carey were required to make 12 equal monthly payments to retire the loan?

Answers: 1

Answer

Business, 22.06.2019 18:30

What is the relationship between credit and debt?

Answers: 1

Answer

Business, 22.06.2019 21:10

The chromosome manufacturing company produces two products, x and y. the company president, jean mutation, is concerned about the fierce competition in the market for product x. she notes that competitors are selling x for a price well below chromosome's price of $13.50. at the same time, she notes that competitors are pricing product y almost twice as high as chromosome's price of $12.50.ms. mutation has obtained the following data for a recent time period: product x product y number of units 11,000 3,000 direct materials cost per unit $3.23 $3.09 direct labor cost per unit $2.22 $2.10 direct labor hours 10,000 3,500 machine hours 2,100 1,800 inspection hours 80 100 purchase orders 10 30ms. mutation has learned that overhead costs are assigned to products on the basis of direct labor hours. the overhead costs for this time period consisted of the following items: overhead cost item amount inspection costs $16,200 purchasing costs 8,000 machine costs 49,000 total $73,200using direct labor hours to allocate overhead costs determine the gross margin per unit for product x. choose the best answer from the list below.a. $1.93b. $3.12c. $7.38d. $2.43e. $1.73using activity-based costing for overhead allocation, determine the gross margin per unit for product y. choose best answer from list below.a. $10.07b. ($2.27)c. ($5.23)d. ($7.02)e. $7.02

Answers: 3

Answer

You know the right answer?

Assume that market and book values are equal for current assets, current liabilities, and debt and o...

Questions