Find 1. Total Debt Ratio2. Debt to Equity Ratio 3. Net profit MarginJust practice and work check TABLE 1INCOME STATEMENTSalesCOGSOther expensesDepreciationEBITInterestTaxable incomeTaxes (40%)Net income$424,092,40017,982,0002,878,800786,0002,445,600434,4002,011,200804,4801,206,720$424DividendsAdd to RE2$246,000960,7202$BALANCE SHEETLiabilities & EquityCurrent LiabilitiesAccounts PayableNotes PayableTotal CLAssetsCurrent Assets858,8161,735,6802,594,496$2$438,0481,841,6161,486,2003,765,864CashAccounts rec.2$InventoryTotal CA24Total Long-term debt $4,590,000Fixed assetsNet PP&EShareholder EquityCommon stock242$Retained earningsTotal Equity2$14,778,816180,00011,180,18411,360,184Total L&E18,544,6802418,544,680Total Assets

The financial ratios are used to find out the financial health of the company.

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Find 1. Total Debt Ratio 2. Debt to Equity Ratio 3. Net profit Margin

Fundamentals of Financial Management (MindTap Course List)

15th Edition

ISBN:9781337395250

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter4: Analysis Of Financial Statements

Section: Chapter Questions

Problem 24P: Income Statement for Year Ended December 31, 2018 (Millions of Dollars) Net sales 795.0 Cost of...

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Question

Find 1. Total Debt Ratio 2. Debt to Equity Ratio 3. Net profit Margin Just practice and work check

TABLE 1
INCOME STATEMENT
Sales
COGS
Other expenses
Depreciation
EBIT
Interest
Taxable income
Taxes (40%)
Net income
$4
24,092,400
17,982,000
2,878,800
786,000
2,445,600
434,400
2,011,200
804,480
1,206,720
$4
24
Dividends
Add to RE
2$
246,000
960,720
2$
BALANCE SHEET
Liabilities & Equity
Current Liabilities
Accounts Payable
Notes Payable
Total CL
Assets
Current Assets
858,816
1,735,680
2,594,496
$
2$
438,048
1,841,616
1,486,200
3,765,864
Cash
Accounts rec.
2$
Inventory
Total CA
24
Total Long-term debt $
4,590,000
Fixed assets
Net PP&E
Shareholder Equity
Common stock
24
2$
Retained earnings
Total Equity
2$
14,778,816
180,000
11,180,184
11,360,184
Total L&E
18,544,680
24
18,544,680
Total Assets

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