TRANSACTION COMPS MODELING WALL STREET PREP
ACTUAL EXAM WITH COMPLETE ACCURATE QUESTIONS
AND CORRECT VERIFIED ANSWERS (A NEW UPDATED
VERSION |ALREADY GRADED A+ (BRAND NEW!)
Depreciation Expense found in the SG&A line of the income
statement for a manufacturing firm would most likely be
attributable to which of the following
Answer- computers used by the accounting department
If a company has projected revenues of $10 billion, a gross
profit margin of 65%, and projected SG&A expenses of
$2billion, what is the company's operating (EBIT) margin?
Answer- 45%
A company has the following information, 1. 2014 revenues of
$5 billion,2013 Accounts receivable of $400 million, 2014
accounts receivable of $600 million, what are the day’s sales
outstanding
Answer- 36.5
,A company has the following information:
• 2014 Revenues of $8 billion
• 2014 COGS of $5 billion
• 2013 Accounts receivable of $400 million
• 2014 Accounts receivable of $600 million
• 2013 Inventories of $1 billion
• 2014 Inventories of $800 million
• 2013 Accounts payable of $250 million
• 2014 Accounts payable of $300 million
What are the inventory days for the company?
Answer- 65.7 days
Which of the following is true?
Answer- Coca Cola's brand name is not reflected as an
intangible asset on its balance sheet
A company has the following information:
• 2014 share repurchase plan of $4 billion
• Average share price of $60 for the year 2013
, • Expected EPS growth for 2014 of 10%
What should the number of shares repurchased by the company
be in your financial model?
Answer- 60.6 million
non-controlling interest
is an expense on the income statement and equity o the balance
sheet?
A company has the following information:
• 2013 retained earnings balance of $12 billion
• Net income of $3.5 billion in 2014
• Capex of $200 million in 2014
• Preferred dividends of $100 million in 2014
• Common dividends of $400 million in 2014
What is the retained earnings balance at the end of 2014?
Answer- 15 billion