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d) Calculate the inventory turnover. (Round your answer to 2 decimal places.) e) Calculate the debt-equity ratio. (Round your answer to 4 decimal places.) f) Calculate the current ratio. (Round your answer to 4 decimal places.) g) Calculate the quick ratio. (Round your answer to 4 decimal places.)

d) Calculate the inventory turnover. (Round your answer to 2 decimal places.) e) Calculate the debt-equity ratio. (Round your answer to 4 decimal places.) f) Calculate the current ratio. (Round your answer to 4 decimal places.) g) Calculate the quick ratio. (Round your answer to 4 decimal places.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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d) Calculate the inventory turnover. (Round your answer to 2 decimal places.)

e) Calculate the debt-equity ratio. (Round your answer to 4 decimal places.)

f) Calculate the current ratio. (Round your answer to 4 decimal places.)

g) Calculate the quick ratio. (Round your answer to 4 decimal places.)

Exercise n°3. Gil Corporation has current assets of $90,000 and current liabilities of $180,000. Required: The following table gives abbreviated balance sheets and income statements for Walmart.
Transcribed Image Text:Exercise n°3. Gil Corporation has current assets of $90,000 and current liabilities of $180,000. Required: The following table gives abbreviated balance sheets and income statements for Walmart.
Balance Sheet (figures in $ millions) End of Year Start of Year Assets Current assets: $ 6,756 5,614 43,783 3,511 $ 59,664 $ 6,867 5,835 43,046 1,941 $ 57,689 Cash and marketable securities Accounts receivable Inventories Other current assets Total current assets Fixed assets: $ 114,818 $ 114,178 30,040 $ 204,522 $ 198,825 Net fixed assets Other long-term assets 26,958 Total assets Liabilities and Shareholders' Equity Current liabilities: $ 41,433 25,495 $ 66,928 42,018 12,081 $ 126,653 $ 121,027 77,798 Total liabilities and shareholders' equity $ 204,522 $ 198,825 $ 46,092 32,429 $ 78,521 36,825 11,307 Accounts payable Other current liabilities Total current liabilities Long-term debt Other long-term liabilities Total liabilities Total shareholders' equity 77,869 Income Statement (figures in $ millions) $ 500,343 $ 485,873 373,396 95,981 10,529 $ 20,437 2,178 $ 18,259 4,600 $ 13,659 6,124 $ 7,535 Net sales 361,256 91,773 10,080 $ 22,764 2,267 $ 20,497 7,174 $ 13,323 6,695 $ 6,628 Cost of goods sold Selling, general, and administrative expenses Depreciation Earnings before interest and taxes (EBIT) Interest expense Taxable income Тах Net income Dividends Addition to retained earnings Assume a tax rate of 35%. Calculate the following using balance-sheet figures from the start of the year and Income statement figures from the end of the year: a) Calculate the return on assets. (Enter your answer as a percent rounded to 2 decimal places.) b) Calculate the operating profit margin. (Enter your answer as a percent rounded to 2 decimal places.) c) Calculate the sales-to-assets ratio. (Round your answer to 2 decimal places.)
Transcribed Image Text:Balance Sheet (figures in $ millions) End of Year Start of Year Assets Current assets: $ 6,756 5,614 43,783 3,511 $ 59,664 $ 6,867 5,835 43,046 1,941 $ 57,689 Cash and marketable securities Accounts receivable Inventories Other current assets Total current assets Fixed assets: $ 114,818 $ 114,178 30,040 $ 204,522 $ 198,825 Net fixed assets Other long-term assets 26,958 Total assets Liabilities and Shareholders' Equity Current liabilities: $ 41,433 25,495 $ 66,928 42,018 12,081 $ 126,653 $ 121,027 77,798 Total liabilities and shareholders' equity $ 204,522 $ 198,825 $ 46,092 32,429 $ 78,521 36,825 11,307 Accounts payable Other current liabilities Total current liabilities Long-term debt Other long-term liabilities Total liabilities Total shareholders' equity 77,869 Income Statement (figures in $ millions) $ 500,343 $ 485,873 373,396 95,981 10,529 $ 20,437 2,178 $ 18,259 4,600 $ 13,659 6,124 $ 7,535 Net sales 361,256 91,773 10,080 $ 22,764 2,267 $ 20,497 7,174 $ 13,323 6,695 $ 6,628 Cost of goods sold Selling, general, and administrative expenses Depreciation Earnings before interest and taxes (EBIT) Interest expense Taxable income Тах Net income Dividends Addition to retained earnings Assume a tax rate of 35%. Calculate the following using balance-sheet figures from the start of the year and Income statement figures from the end of the year: a) Calculate the return on assets. (Enter your answer as a percent rounded to 2 decimal places.) b) Calculate the operating profit margin. (Enter your answer as a percent rounded to 2 decimal places.) c) Calculate the sales-to-assets ratio. (Round your answer to 2 decimal places.)
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