INTERMEDIATE ACCOUNTING ACCESS 540 DAY
10th Edition
ISBN: 9781264706327
Author: SPICELAND
Publisher: MCG
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Chapter 4, Problem 4.12P
1
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial
The inventory turnover ratios for 2021.
2
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The average days in inventory for 2021.
3
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The
4
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The average collection period for 2021.
5
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The total asset turnover for 2021.
6
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The profit margin on sales for 2021.
7
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The return on assets for 2021.
8
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The return on equity for 2021.
9
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The equity multiplier for 2021.
10
To determine
Concept Introduction: Financial ratio is a quantitative method used to analyze and interpret financial statements for decision-making. Various financial ratios are liquidity ratios, efficiency ratios, and profitability ratios.
The return on equity using DuPont for 2021.
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Please find: Days' sales in inventory, Receivables Turnover, Equity Multipli
Use information from the balance sheet and income statement to calculate the following financial ratios and the market value added (MVA).
(Whenever balance sheet numbers are used to calculate financial ratios, please ensure that you use the average of the 2019 and 2020 numbers in your calculation. To calculate MVA, you can assume that the average book value number for common stock and paid-in-surplus is the amount that the shareholders initially invested in the company.)
Using the attached balanced sheet and income statement
Calculate the following ratios for the respective years: 2019, 2020, 2021 est
Liquidity Ratios
Current Ratio (times)
Quick Ratio (times)
Asset Management Ratios
Average sales/day
Inventory Turnover Ratio (times)
Days Sales Outstanding (days)
Fixed Assets Turnover Ratio (times)
Total Asset Turnover Ratio
Debt Management Ratios
Total Debt to Total Assets (%)
Times Interest Earned (times)
Debt to Equity Ratio (%)
Profitability Ratios
Profit Margin on Sales (%)
Earning Power (%)
Return on Total Assets (%)
Return on Common Equity (%)
Market Value Ratios Price/Earnings Ratio
Price/Earnings Ratio (times)
Price/Cash Flow Ratio (times)
Market /Book Value Ratio (times)
Comment on the liquidity, profitability, leverage, asset management and market value
Calculate the following ratios for 2021 using working Excel formulas. Make sure to label each appropriately using the following cell (number of days, number of times, etc.) Round each answer to 2 decimal places (example: ROE of .1678 should display as 16.78%):
Current Ratio
Quick Ratio
Debt to Equity Ratio
Equity Multiplier
Times Interest Earned
Dividend Yield
Inventory Turnover
Days’ Sales in Inventory
Receivables Turnover
Days’ Sales in Receivables
Total Asset Turnover
Profit Margin
Return on Assets
Return on Equity
P/E Ratio
2.Calculate Return on Equity (ROE) for 2021 using the Dupont
Chapter 4 Solutions
INTERMEDIATE ACCOUNTING ACCESS 540 DAY
Ch. 4 - The income statement is a change statement....Ch. 4 - What transactions are included in income from...Ch. 4 - Prob. 4.3QCh. 4 - Prob. 4.4QCh. 4 - Prob. 4.5QCh. 4 - What are restructuring costs and where are they...Ch. 4 - Define intraperiod tax allocation. Why is the...Ch. 4 - How are discontinued operations reported in the...Ch. 4 - What is meant by a change in accounting principle?...Ch. 4 - Prob. 4.10Q
Ch. 4 - The correction of a material error discovered in a...Ch. 4 - Define earnings per share (EPS). For which income...Ch. 4 - Prob. 4.13QCh. 4 - Describe the purpose of the statement of cash...Ch. 4 - Prob. 4.15QCh. 4 - Explain what is meant by noncash investing and...Ch. 4 - Distinguish between the direct method and the...Ch. 4 - Prob. 4.18QCh. 4 - Prob. 4.19QCh. 4 - Show the calculation of the following...Ch. 4 - Show the DuPont frameworks calculation of the...Ch. 4 - Prob. 4.22QCh. 4 - Prob. 4.23QCh. 4 - Prob. 4.1BECh. 4 - Prob. 4.2BECh. 4 - Prob. 4.3BECh. 4 - Prob. 4.4BECh. 4 - Prob. 4.5BECh. 4 - Prob. 4.6BECh. 4 - Prob. 4.7BECh. 4 - Prob. 4.8BECh. 4 - Prob. 4.9BECh. 4 - Prob. 4.10BECh. 4 - Prob. 4.11BECh. 4 - Prob. 4.12BECh. 4 - Statement of cash flows; indirect method LO48 Net...Ch. 4 - Prob. 4.14BECh. 4 - Prob. 4.15BECh. 4 - Prob. 4.3ECh. 4 - Prob. 4.4ECh. 4 - Prob. 4.5ECh. 4 - Prob. 4.6ECh. 4 - Prob. 4.7ECh. 4 - Prob. 4.8ECh. 4 - Prob. 4.9ECh. 4 - Prob. 4.12ECh. 4 - Prob. 4.15ECh. 4 - Prob. 4.23ECh. 4 - Concepts; terminology LO41, LO42, LO43, LO44,...Ch. 4 - Inventory turnover; calculation and evaluation ...Ch. 4 - Prob. 4.29ECh. 4 - Prob. 4.30ECh. 4 - Prob. 4.31ECh. 4 - Prob. 4.32ECh. 4 - Prob. 4.1PCh. 4 - Prob. 4.2PCh. 4 - Prob. 4.3PCh. 4 - Prob. 4.4PCh. 4 - Prob. 4.5PCh. 4 - Prob. 4.6PCh. 4 - Prob. 4.7PCh. 4 - Prob. 4.8PCh. 4 - Prob. 4.9PCh. 4 - Prob. 4.11PCh. 4 - Prob. 4.12PCh. 4 - Use of ratios to compare two companies in the same...Ch. 4 - Prob. 4.15PCh. 4 - Prob. 4.16PCh. 4 - Prob. 4.1DMPCh. 4 - Judgment Case 42 Restructuring costs LO43 The...Ch. 4 - Prob. 4.3DMPCh. 4 - Prob. 4.4DMPCh. 4 - Prob. 4.5DMPCh. 4 - Prob. 4.6DMPCh. 4 - Prob. 4.7DMPCh. 4 - IFRS Case 48 Statement of cash flows;...Ch. 4 - Judgment Case 49 Income statement presentation;...Ch. 4 - Prob. 4.10DMPCh. 4 - Prob. 4.13DMPCh. 4 - Prob. 4.15DMPCh. 4 - Prob. 4.17DMPCh. 4 - Prob. 4.18DMPCh. 4 - Prob. 2CCTC
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