投资学10版习题答案19.docx
- 文档编号:26010756
- 上传时间:2023-06-17
- 格式:DOCX
- 页数:15
- 大小:118.40KB
投资学10版习题答案19.docx
《投资学10版习题答案19.docx》由会员分享,可在线阅读,更多相关《投资学10版习题答案19.docx(15页珍藏版)》请在冰豆网上搜索。
投资学10版习题答案19
CHAPTER19:
FINANCIALSTATEMENTANALYSIS
PROBLEMSETS
1.ThemajordifferenceinapproachofinternationalfinancialreportingstandardsandU.S.GAAPaccountingstemsfromthedifferencebetweenprinciplesandrules.U.S.GAAPaccountingisrules-based,withextensivedetailedrulestobefollowedinthepreparationoffinancialstatements;manyinternationalstandards,EuropeanUnionadaptedIFRS,allowmuchgreaterflexibility,aslongasconformitywithgeneralprinciplesisdemonstrated.EventhoughU.S.GAAPisgenerallymoredetailedandspecific,issuesofcomparabilitystillariseamongU.S.companies.Comparabilityproblemsarestillgreateramongcompaniesinforeigncountries.
2.Earningsmanagementshouldnotmatterinatrulyefficientmarket,whereallpubliclyavailableinformationisreflectedinthepriceofashareofstock.Investorscanseethroughattemptstomanageearningssothattheycandetermineacompany’strueprofitabilityand,hence,theintrinsicvalueofashareofstock.However,iffirmsdoengageinearningsmanagement,thentheclearimplicationisthatmanagersdonotviewfinancialmarketsasefficient.
3.Bothcreditratingagenciesandstockmarketanalystsarelikelytobemoreorlessinterestedinalloftheratiosdiscussedinthischapter(aswellasmanyotherratiosandformsofanalysis).SincetheMoody’sandStandardandPoor’sratingsassessbonddefaultrisk,theseagenciesaremostinterestedinleverageratios.Astockmarketanalystwouldbemostinterestedinprofitabilityandmarketpriceratios.
4.ROA=ROSATO
TheonlywaythatCrustyPiecanhaveanROShigherthantheindustryaverageandanROAequaltotheindustryaverageisforitsATOtobelowerthantheindustryaverage.
5.ABC’sassetturnovermustbeabovetheindustryaverage.
6.
ROEA>ROEB
FirmsAandBhavethesameROA.AssumingthesametaxrateandassumingthatROA>interestrate,thenFirmAmusthaveeitheralowerinterestrateorahigherdebtratio.
7.
=NetprofitmarginAssetturnoverLeverageratio
=5.5%2.02.2=24.2%
8.a.Lowerbaddebtexpensewillresultinhigheroperatingincome.
b.LowerbaddebtexpensewillhavenoeffectonoperatingcashflowuntilGalaxyactuallycollectsreceivables.
9.A.CertainGAAPrulescanbeexploitedbycompaniesinordertoachievespecificgoals,whilestillremainingwithintheletterofthelaw.Aggressiveassumptions,suchaslengtheningthedepreciablelifeofanasset(whichareutilizedtoboostearnings)resultinalowerqualityofearnings.
10.A.Off-balance-sheetfinancingthroughtheuseofoperatingleasesisacceptablewhenusedappropriately.However,companiescanusethemtooaggressivelyinordertoreducetheirperceivedleverage.Acomparisonamongindustrypeersandtheirpracticesmayindicateimproperuseofaccountingmethods.
11.A.Awarningsignofaccountingmanipulationisabnormalinventorygrowthascomparedtosalesgrowth.Byoverstatinginventory,thecostofgoodssoldislower,leadingtohigherprofitability.
12.
Alternatively,
0.03=0.65×[ROA+(ROA-0.06)×0.5]
0.0462=[ROA+(ROA-0.06)×0.5]
0.0462=ROA+0.5ROA-0.03
0.0762=ROA+0.5ROA
0.0762=1.5ROA
0.0508=ROA
13.
14.
a.Cashflowsfrominvestingactivities
Saleofoldequipment
$72,000
Purchaseofbus
(33,000)
Netcashusedininvestingactivities
39,000
b.Cashflowsfromfinancingactivities
Repurchaseofstock
$(55,000)
Cashdividend
(80,000)
Netcashusedinfinancingactivities
(135,000)
c.Cashflowsfromoperatingactivities
Cashcollectionsfromcustomers
$300,000
Cashpaymentstosuppliers
(95,000)
Cashpaymentsforinterest
(25,000)
Netcashprovidedbyoperatingactivities
$180,000
Netincreaseincash
$84,000
15.a.Thetotalcapitalofthefirmsmustfirstbecalculatedbyaddingtheirrespectivedebtandequitytogether.ThetotalcapitalforAcmeis100+50=150,andthetotalcapitalforApexis450+150=600.TheeconomicvalueaddedwillbethespreadbetweentheROCandcostofcapitalmultipliedbythetotalcapitalofthefirm.Acme’sEVAthusequals(17%−9%)×150=12(million).Apex’sEVAequals(15%−10%)×600=30(mil).NoticethateventhoughApex’sspreadissmaller,theirlargercapitalstockallowsthemmoreeconomicvalueadded.
b.However,sinceApexhasalargercapitalstock,it’sEVAperdollarinvestedincapitalissmallerat30/600=.05comparedtoAcme’s12/150=.08
CFAPROBLEMS
1.SmileWhitehashigherqualityofearningsforthefollowingreasons:
SmileWhiteamortizesitsgoodwilloverashorterperiodthandoesQuickBrush.SmileWhitethereforepresentsmoreconservativeearningsbecauseithasgreatergoodwillamortizationexpense.
SmileWhitedepreciatesitsproperty,plantandequipmentusinganaccelerateddepreciationmethod.Thisresultsinrecognitionofdepreciationexpensesoonerandalsoimpliesthatitsincomeismoreconservativelystated.
SmileWhite’sbaddebtallowanceisgreaterasapercentageofreceivables.SmileWhiteisrecognizinggreaterbad-debtexpensethanQuickBrush.Ifactualcollectionexperiencewillbecomparable,thenSmileWhitehasthemoreconservativerecognitionpolicy.
2.a.
=NetprofitmarginTotalassetturnoverAssets/equity
b.
c.g=ROEPlowback
3.a.CFfromoperatingactivities=$260–$85–$12–$35=$128
b.CFfrominvestingactivities=–$8+$30–$40=–$18
c.CFfromfinancingactivities=–$32–$37=–$69
4.a.QuickBrushhashadhighersalesandearningsgrowth(pershare)thanSmileWhite.Marginsarealsohigher.ButthisdoesnotmeanthatQuickBrushisnecessarilyabetterinvestment.SmileWhitehasahigherROE,whichhasbeenstable,whileQuickBrush’sROEhasbeendeclining.WecanseethesourceofthedifferenceinROEusingDuPontanalysis:
Component
Definition
QuickBrush
SmileWhite
Taxburden(1–t)
Netprofits/pretaxprofits
67.4%
66.0%
Interestburden
Pretaxprofits/EBIT
1.000
0.955
Profitmargin
EBIT/Sales
8.5%
6.5%
Assetturnover
Sales/Assets
1.42
3.55
Leverage
Assets/Equity
1.47
1.48
ROE
Netprofits/Equity
12.0%
21.4%
Whiletaxburden,interestburden,andleveragearesimilar,profitmarginandassetturnoverdiffer.AlthoughSmileWhitehasalowerprofitmargin,ithasafarhigherassetturnover.
Sustainablegrowth=ROEPlowbackratio
ROE
PlowbackRatio
Sustainable
GrowthRate
Ludlow’sEstimateofGrowthRate
QuickBrush
12.0%
1.00
12.0%
30%
SmileWhite
21.4
0.34
7.3
10
Ludlowhasoverestimatedthesustainablegrowthrateforbothcompanies.QuickBrushhaslittleabilitytoincreaseitssustainablegrowth—plowbackalreadyequals100%.SmileWhitecouldincreaseitssustainablegrowthbyincreasingitsplowbackratio.
b.QuickBrush’srecentEPSgrowthhasbeenachievedbyincreasingbookvaluepershare,notbyachievinggreaterprofitsperdollarofequity.AfirmcanincreaseEPSevenifROEisdecliningasistrueofQuickBrush.QuickBrush’sbookvaluepersharehasmorethandoubledinthelasttwoyears.
Bookvaluepersharecanincreaseeitherbyretainingearningsorbyissuingnewstockatamarketpricegreaterthanbookvalue.QuickBrushhasbeenretainingallearnings,buttheincreaseinthenumberofoutstandingsharesindicatesthatithasalsoissuedasubstantialamountofstock.
5.a.ROE=OperatingmarginInterestburdenAssetturnoverLeverageTaxburden
ROEforEastover(EO)andforSouthampton(SHC)in2013isfoundasfollows:
Profitmargin=
SHC:
EO:
145/1,793=
795/7,406=
8.1%
10.7%
Interestburden=
SHC:
EO:
137/145=
600/795=
0.94
0.75
Assetturnover=
SHC:
EO:
1,793/2,104=
7,406/8,265=
0.85
0.90
Leverage=
SHC:
EO:
2,104/1,167=
8,265/3,864=
1.80
2.14
Taxburden=
SHC:
EO:
91/137=
394/600=
0.66
0.66
ROE
SHC:
EO:
7.8%
10.2%
b.ThedifferencesinthecomponentsofROEforEastoverandSouthamptonare:
ProfitmarginEOhasahighermargin.
InterestburdenEOhasahigherinterestburdenbecauseitspretaxprofitsarealowerpercentageofEBIT.
AssetturnoverEOismoreefficientatturningoveritsassets.
LeverageEOhashigherfinancialleverage.
TaxburdenNomajordifferenceherebetweenthetwocompaniesROE.EOhasahigherROEthanSHC,butthisisonlyinpartduetohighermarginsandabetterassetturnover.Greaterfinancialleveragealsoplaysapart.
c.ThesustainablegrowthratecanbecalculatedasROEtimesplowbackratio.ThesustainablegrowthratesforEastoverandSouthamptonareasfollows:
ROE
PlowbackRatio*
Sustainable
GrowthRate
Eastover
10.2%
0.36
3.7%
Southampton
7.8
0.58
4.5
*Plowback=(1–Payoutratio)
EO:
Plowback=(1–0.64)=0.36
SHC:
Plowback=(1–0.42)=0.58
Thesustainablegrowthratesderivedinthismannerarenotlikelytoberepresentativeoffuturegrowthbecause2013wasprobablynota“normal”year.ForEastover,earningshadnotyetrecoveredto2010–2011levels;earningsretentionofonly0.36seemslowforacompanyinacapitalintensiveindustry.Southampton’searningsfellbyover50percentin2013anditsearningsretentionwillprobablybehigherthan0.58inthefuture.Thereisadanger,therefore,inbasingaprojectionononeyear’sresults,especiallyforcompaniesinacyclicalindustrysuchasforestproducts.
6.a.Theformulafortheconstantgrowthdiscounteddividendmodelis
ForEastover:
Thiscompareswiththecurrentstockpriceof$28.Onthisbasis,itappearsth
- 配套讲稿:
如PPT文件的首页显示word图标,表示该PPT已包含配套word讲稿。双击word图标可打开word文档。
- 特殊限制:
部分文档作品中含有的国旗、国徽等图片,仅作为作品整体效果示例展示,禁止商用。设计者仅对作品中独创性部分享有著作权。
- 关 键 词:
- 投资 10 习题 答案 19