Question

Liquidity measures

The current ratio is ​(Round to two decimal​ places.)

The​ firm's net working capital is​(Round to the nearest million​ dollars.)

Activity measures

The​ firm's total asset turnover is ? ​(Round to two decimal​ places.)

Leverage measures

The​ firm's debt-equity ratio is? ​(Round to two decimal​ places.)

The​ firm's times interest earned ratio is (Round to two decimal​ places.)

Profitability measures

The​ firm's net profit margin is %? ​(Round to two decimal​ places.)

The​ firm's return on assets​ (ROA) is %? (Round to two decimal​ places.)

The​ firm's return on equity​ (ROE) is %? ​(Round to two decimal​ places.)

Common stock measures

The earnings per share​ (EPS) is $?(Round to the nearest​ cent.)

The​ P/E ratio is ?(Round to two decimal​ places.)

The sales per share is ? ​(Round to the nearest​ cent.)

The​ price-to-sales ratio is ? ​(Round to two decimal​ places.)

The amount of dividends per share is ? (Round to the nearest​ cent.)

The dividend yield on the common stock is ? (Round to two decimal​ places.)

The dividend payout ratio is ? ​(Round to two decimal​ places.)

The​ firm's book value per share is ? (Round to two decimal​ places.)

The​ price-to-book value is ​(Round to the nearest​ cent.)

Enter your answer in each of the answer boxes.

	($ in millions)
Current assets	55
Fixed and other assets	97
Total assets	152
Current liabilities	43
Long-term debt	16
Stockholders' equity	93
Total liabilities and equity	152
Common shares outstanding (millions)	4
Total revenues	201
Total operating costs and expenses	177
Interest expense	4
Income taxes	7
Net profits	13
Dividends paid to common stockholders	4

Answer 1

Liquidity measures

Current ratio = Current Assets / Current liabilities

Current ratio: 55/43 = 1.28

Net working capital = Current assets - Current liabilities

NWC: 55-43 = 12 million

Activity

Total asset turnover = Net Sales (revenues) / Total assets

total asset turnover: 201/152 = 1.32 times

Leverage

Debt-Equity ratio = Debt/Equity

Debt-Equity ratio: (43+16) / 93 = .63

Time interest earned ratio = EBIT / Interest expense

Time interest earned ratio: (Net profit + Interest +Tax) / Interest

Time interest earned ratio: (13+4+7) /4 = 6 times

Profitability

Net profit margin= Net profit / Sales

Net profit margin: (13/201) *100 = 6.47%

ROA = Net profit / Total assets

ROA: (13 / 152 ) * 100= 8.55%

ROE= Net profit / Shareholder's equity

ROE: (13 / 93 ) * 100 = 13.98%

Note: (Please post remaining ratios in other question)