Ch 3 Analysis of Fin Statements

3-1

AR = $400,000

3-3

M/B=5

3-5

Change in AP = $46,026

3-7

CL = $2,000,000; Inv = $2,200,000

3-9

$262,500; 1.19x

3-11

ROE-10 = 25.9% ROE-11 = 27.7% ROE-12 = 28.5%

3-13

TIE = 3.5x

3-15

A/P = $90,000; C/S = $52,500; Sales = $450,000; Inv = $90,000; A/R = $45,000;
Cash = $27,000; FA = $138,000; COGS = $337,500

3-17 a. CR = 1.68x; DSD = 76; Inv T. = 6.66x; Fixed asset T. = 4.69x; TAT = 1.70x; PM =2.0%; ROA = 3.4;
ROE= 8.8%; Debt ratio = 61.9%
Ch 23 Corporate Valuation
23-1

FCF = $47.0

23-3

Vop at 2014 = $15,000

23-5

$259,375,000

23-7

a. $2,700,000 b. $2,303,571

23-9

a. $814.667 million b. $783.333 million c. $852.333 million d. $30.07

23-11 $46.90
Ch 24 Mergers and Acquisitions
24-1

P0 = $25.26

24-3

$25.26 to $41.37

24-5

a. $5,200,000 b. $645,900

c. $23,600,000

d. At $23: Mistral: $5.2 M Amsted: $0;

At $25: Mistral $3.6 M Amsted $1.6 M;
At $30: Mistral =$0.4 M Amsted $5.6 M
24-7
a. 2013: $0.60; 2014: $1.51; 2015: $1.81; 2016: $2.44; 2017: $4.06.
b. 8.256%

c. $99.21 million
d. Vop = $74.50 million;
Vequity = $58.50 million;
Max price = $11.70.
24-9 Stand-alone $34 million; Synergies = $24.55 million;
At $8: Value for Brock = $1.85; Value for Dearborn = $1.20;
At $10.25: Value for Brock = $0.73; Value for Dearborn = $3.45.
Ch 13 Distributions to Shareholders: Dividends and Repurchases
13-1 Payout = 55%
13-3 Payout = 52%
13-5 P0=$48
13-7 n = 4,000; EPS = $5.00; DPS = $1.50; P = $40.0
13-9 Payout = 20%
13-11 a. DPS = $6

b. DPR=60%

c.60% payout: P0 = $66.67;

20% payout: P0 = $10
13-15 a. $6,000,000 b.DPS = $2.00; Payout = 25% c. $5m d. No e . 50% f . $1,000,000 g. $8,333,333