Latest Activity In Study Groups

Join Your Study Groups

VU Past Papers, MCQs and More

We non-commercial site working hard since 2009 to facilitate learning Read More. We can't keep up without your support. Donate.

Announcement of GDB No.01

Graded Discussion Board

Corporate Finance (FIN622)

Dear Students!

This is to inform that Graded Discussion Board (GDB) No. 01 will be opened on 12th November, 2014 for discussion and last date for posting your discussion will be 14th November, 2014.

 

Topic/Area for Discussion

 “Ratio Analysis”

SMR Inc. is willing to provide credit to any company in order to earn interest on it. There are two companies A and B having debt to equity ratios of 1 and 0.75; current ratios of 1.5 and 0.8; Average collection period of 18 days and 20 days; and payable turnover ratios of 2 and 0.7 respectively. Inventory turnover is 9 times for both. Which ratios are relevant to compare the credit worthiness of both companies and discuss how they’ll help SMR Inc. to assess the right company to lend?

(Note: Your discussion should not exceed 150 words. No calculation is needed; you are only supposed to discuss the scenario.)

This Graded Discussion Board will cover first 6 lessons.

Your discussion must be based on logical facts.

  • The GDB will open and close on above specified date and time. Please note that no grace day or extra time will be given for posting comments on GDB.
  • Use the font style “Times New Roman” and font size “12”.
  • Your answer should be relevant to the topic i.e. clear and concise.
  • Do not copy or exchange your answer with other students. Two identical / copied comments will be marked Zero (0) and may damage your grade in the course.

Views: 943

Replies to This Discussion

Tariq Brother plzzz share ur idea about this GDB

Lets Discuss first.....Ratios in this scenario 

plz dicuss i m confused

Debt Equity Ratio is more suitable for this

m i right anyone??????

yes you r right.

The debt-to-equity ratio (D/E) is a financial ratio indicating the relative proportion of shareholders' equity and debt used to finance a company's assets.[1] Closely related to leveraging, the ratio is also known as RiskGearing or Leverage. The two components are often taken from the firm's balance sheet or statement of financial position (so-called book value), but the ratio may also be calculated using market values for both, if the company's debt and equity are publicly traded, or using a combination of book value for debt and market value for equity financially.

RSS

Looking For Something? Search Below

Latest Activity

+ ! Agha RoShaaan Khan+ commented on + M.Tariq Malik's page Chit Chat Wall
7 hours ago
+ ! Agha RoShaaan Khan+ replied to Mr Siren Head's discussion Ning Chats
7 hours ago
イム乃ひ posted a video

PERFECT..

11 hours ago
Mr Siren Head commented on + M.Tariq Malik's page Chit Chat Wall
13 hours ago
Mr Siren Head replied to Mr Siren Head's discussion Ning Chats
13 hours ago
Mr Siren Head replied to Mr Siren Head's discussion Ning Chats
13 hours ago
AVAYA replied to Mr Siren Head's discussion Ning Chats
14 hours ago
AVAYA replied to Mr Siren Head's discussion Ning Chats
14 hours ago

VIP Member Badge & Others

How to Get This Badge at Your Profile DP

------------------------------------

Management: Admins ::: Moderators

Other Awards Badges List Moderators Group

© 2021   Created by + M.Tariq Malik.   Powered by

Promote Us  |  Report an Issue  |  Privacy Policy  |  Terms of Service