Problem 11-5A (Algo) Calculate and analyze ratios (LO11-6) Cyberdyne Systems and Virtucon are competitors focusing on the latest technologies. Selected financial data is provided below. ($ in millions) Net sales Cyberdyne $41,905 10,476 Net income Operating cash flows. Total assets, beginning Total assets, ending 15,165 60,905 62,905 Required 1 Virtucon $6,384 Required: 1. Calculate the return on assets for both companies. 2. Calculate the cash return on assets for both companies. 3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. 4. Which company has the more favorable ratios? Required 2 Required 3 1,341 1,500 For all requirements, round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).) 15,884 18,000 Complete this question by entering your answers in the tabs below. Required 4

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter8: Current And Contingent Liabilities
Section: Chapter Questions
Problem 80BPSB: Ratio Analysis Consider the following information taken from Chicago Water Slides (CWSs) financial...
icon
Related questions
Question

6

Problem 11-5A (Algo) Calculate and analyze ratios (LO11-6)
Cyberdyne Systems and Virtucon are competitors focusing on the latest technologies. Selected financial data is provided below.
($ in millions)
Net sales
Cyberdyne
$41,905
10,476
Net income
Operating cash flows
Total assets, beginning
Total assets, ending
15,165
60,905
62,905
Required:
1. Calculate the return on assets for both companies.
2. Calculate the cash return on assets for both companies.
3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies.
4. Which company has the more favorable ratios?
Virtucon
$6,384
1,341
1,500
15,884
18,000
For all requirements, round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered
as 10.1).)
Required 1 Required 2
Complete this question by entering your answers in the tabs below.
Required 3 Required 4
Transcribed Image Text:Problem 11-5A (Algo) Calculate and analyze ratios (LO11-6) Cyberdyne Systems and Virtucon are competitors focusing on the latest technologies. Selected financial data is provided below. ($ in millions) Net sales Cyberdyne $41,905 10,476 Net income Operating cash flows Total assets, beginning Total assets, ending 15,165 60,905 62,905 Required: 1. Calculate the return on assets for both companies. 2. Calculate the cash return on assets for both companies. 3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. 4. Which company has the more favorable ratios? Virtucon $6,384 1,341 1,500 15,884 18,000 For all requirements, round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).) Required 1 Required 2 Complete this question by entering your answers in the tabs below. Required 3 Required 4
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Balance Sheet Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Fundamentals of Financial Management, Concise Edi…
Fundamentals of Financial Management, Concise Edi…
Finance
ISBN:
9781305635937
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Fin Focused Approach
Corporate Fin Focused Approach
Finance
ISBN:
9781285660516
Author:
EHRHARDT
Publisher:
Cengage
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,