Calculate each of following ratios for year 2017 using the financial statement in Table 1-3. Inventory Turnover Ratio Days inventory outstanding (DIO) Accounts receivable turnover Days sales outstanding (DSO) Accounts payable turnover Days payable outstanding (DPO) Total Asset turnover Fixed asset turnover Liquidity Ratio Current ratio Quick ratio Liability to assets Interest coverage ratio Profitability Ratios ROA ROE Gross profit margin Operating profit margin Net operating profit margin Table 1: Balance Sheet Statement for 2017 Cash $7,282 Short-Term invest. 20,000 Accounts Receivable 632,160 Inventories 1,287,360 Total Current Assets 1,946,802 Gross Property, Plant & Equipment 1,202,950 Less: Depreciation 263,160 Net Property, Plant & Equipment 939,790 Total assets $2,886,592 Accounts payable $324,000 Notes payable 720,000 Accruals 284,960 Total Current Liability 1,328,960 Long-term debt 1,000,000 Common stock 460,000 Retained earnings 97,632 Total equity 557,632 Total Liability & Equity $2,886,592 Table 2: Income Statement for 2017 Sales $5,834,400 COGS 4,980,000 Depreciation 116,960 Other expenses 720,000 Total operating costs 5,816,960 EBIT 17,440 Interest expense 176,000 Pre-tax earnings -158,560 Taxes (40%) -63,424 Net income ($95,136) Table 3: Cash Flow Statement Fiscal Year 2017 Net Income ($95,136) Depreciation 116,960 Change in AR (280.960) Change in inventories ($572,160) Change in AP 178,400 Change in accruals 148,960 Net cash provided (used) by ops. ($503,936) Investing Activities Cash used to acquire FA ($711,950) Change in S-T invest. 28,600 Net cash prov. (used) by inv. act. ($683,350) Financing Activities Change in notes payable $520,000 Change in long-term debt 676,568 Chang in common equity 0 Payment of cash dividends ($11,000) Net cash provided (used) by fin. act. $1,185,568 net change in cash ($1,718)
Calculate each of following ratios for year 2017 using the financial statement in Table 1-3.
Inventory Turnover Ratio
Days inventory outstanding (DIO)
Days sales outstanding (DSO)
Accounts payable turnover
Days payable outstanding (DPO)
Total Asset turnover
Fixed asset turnover
Quick ratio
Liability to assets
Interest coverage ratio
Profitability Ratios
ROA
ROE
Gross profit margin
Operating profit margin
Net operating profit margin
Table 1:
Cash $7,282
Short-Term invest. 20,000
Accounts Receivable 632,160
Inventories 1,287,360
Total Current Assets 1,946,802
Gross Property, Plant & Equipment 1,202,950
Less:
Net Property, Plant & Equipment 939,790
Total assets $2,886,592
Accounts payable $324,000
Notes payable 720,000
Accruals 284,960
Total Current Liability 1,328,960
Long-term debt 1,000,000
Common stock 460,000
Total equity 557,632
Total Liability & Equity $2,886,592
Table 2:
Income Statement for 2017
Sales $5,834,400
COGS 4,980,000
Depreciation 116,960
Other expenses 720,000
Total operating costs 5,816,960
EBIT 17,440
Interest expense 176,000
Pre-tax earnings -158,560
Taxes (40%) -63,424
Net income ($95,136)
Table 3:
Net Income ($95,136)
Depreciation 116,960
Change in AR (280.960)
Change in inventories ($572,160)
Change in AP 178,400
Change in accruals 148,960
Net cash provided (used) by ops. ($503,936)
Investing Activities Cash used to acquire FA ($711,950)
Change in S-T invest. 28,600
Net cash prov. (used) by inv. act. ($683,350)
Financing Activities Change in notes payable $520,000
Change in long-term debt 676,568
Chang in common equity 0
Payment of cash dividends ($11,000)
Net cash provided (used) by fin. act. $1,185,568
net change in cash ($1,718)
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