Compute the debt to equity, interest coverage, and price/earnings (P/E) ratios, as well as the dividends yield, and comment on the results.

Long-term Solvency and Market Strength Ratios

An investor is considering investing in the long-term bonds and common stock of Companies M and N. Both firms operate in the same industry. Both also pay a dividend per share of $8 and have a yield of 10 percent on their long-term bonds. Other data for the two firms are as follows:

Compute the debt to equity, interest coverage, and price/earnings (P/E) ratios, as well as the dividends yield, and comment on the results. (Round computations to one decimal place.)

Cash Flow Adequacy Analysis

Using the data below from the financial statements of Braugh, Inc., compute the company’s cash flow yield, cash flows to sales, cash flows to assets, and free cash flow. (Round computations to one decimal place.)

 

find the cost of your paper

Determine the trust’s Net Income For Tax Purposes and Taxable Income for the current year.

During the current year, the Jordan family trust, an inter vivos trust, has business income of $220,000. Of this amount, $50,000 is retained in the trust with a joint election….

Indicate the tax effects of these transactions on the Net Income For Tax Purposes for both the trust and for Bryan.

During 2020, the Ho family trust received eligible dividends from publicly traded Canadian corporations in the amount of $100,000. In addition, it received non-eligible dividends from the family owned Canadian….

compare the tax consequences for both Martin and the trust if the sale takes place in December 2020

The Husak family trust has only one beneficiary, Martin Husak, the 32 year old son of the settlor, Dimitri Husak. It is an inter vivos trust and its only asset….