Capital asset

Disaggregating this ratio it could be seen that the decrease was due to the fact that current liabilities grew faster than current assets (256% versus 129%). It reflects that there was a decline in term of the company’s ability to service its short-term financial obligations. Generally, a higher current ratio is preferred, especially in the garment manufacturing industry, because it…

banking services including financial planning, investment, and asset management to individual investors and corporations. Raymond James’s mission is to commit their energies, intelligence and understanding to attaining the financial objectives of our clients by providing the maximum level of service and delivering superior investment alternatives. The firm services over 2.7 million client accounts with a total of $500 billion in client assets. Examining Raymond James & Associates Inc.’s…

1. Explain why total financial assets in the economy must equal total financial liabilities Financial asset is intangible property from a contractual claim such as stocks, bank deposits, and bonds. All of them should be worth to receive monetary value. Financial liability is a company's obligation or debt which a company has to pay back the amount of borrowing money. Total financial assets and total financial should be equal it's because the balance sheet is based on accounting equation. Since…

Investing activities: the section addresses the amount of cash used to acquire assets to receive through sale or disposition of assets, such as purchases and sales of property as well as investments (Greater Washington Society of CPAs, 2015). • Financing activities: the section reports the amount of cash used to settle liabilities or received by incurring liabilities, such as principal repayments of notes payable or capital leases (Greater Washington Society of CPAs, 2015). • Operating…

probability of being insolvent. Altman Z-Scores and the Financial Crisis In 2007, the credit ratings of specific asset-related securities had been rated higher than they should have been. The Altman Z-score indicated that the companies' risks were increasing significantly and may have been heading for bankruptcy. Altman calculated that the median Altman Z-score…

ratio of Adani Power is constantly below 1, meaning that the current liabilities are more than the current assets. This suggests that the company would be unable to pay off its obligations if they came due at that point. This indicates that the company is not in good financial health. 2. ACID – TEST RATIO The acid-test ratio is a strong indicator of whether a firm has sufficient short-term assets to cover its immediate liabilities. Just as the current ratio the acid test ratio of Adani Power…

receivable income taxes decrease, while the net income increased, causing the increase. But, in 2016 the operating activities decreased due to an increase in inventory and prepaid and receivable income taxes. For investing activities, which relates to capital expenditures (CAPEX), increased each year by millions. The financing activities decreased from 2015 to 2016 and then increased from 2016 to 2017. The cause of these changes was due to Lululemon’s stock repurchase program. Each of these…

calculate the Weighted Average Cost of Capital (WACC) of Bintulu Port Holdings Berhad. Weighted average cost of capital (WACC) is the average rate of return a company expects to compensate all its different investors. The weights are the fraction of each financing source in the company's target capital structure. Based on the company we have chosen, Bintulu Port Holdings Berhad, the cost of the equity of the company is 1.04%, while the cost of debt is 4.62%. Capital structure weights for equity…

balance sheet is a financial statement that shows the assets (what the company owns), liabilities (what the company owes) and equity (stockholders contributions plus retained earnings or losses) of an institution at a given point in time. The balance sheet formula is: Assets = liabilities + shareholder’s equity. The balance sheet formula of a bank is: Bank Assets = Bank liabilities + Bank’s capital The difference between the two is the way assets and liabilities are recorded and on the…

Americans from Tax Hikes (PATH) Act of 2015. Bonus depreciation will be 50% in 2016 and decrease down to 30% by 2019 (Clark). Section 179 of the Internal Revenue Code allows the expensing of up to twenty-five thousand dollars of qualifying new and used assets in their first year of service.…