Question
Consider the following financial statement data (in millions of dollars): Gross profit, $6; Total debt...
Consider the following financial statement data (in millions of dollars): Gross profit, $6; Total
debt = Stockholders’ equity; Sales, $30; Tax rate, 50%; Total assets, $20; Earnings before
taxes, $8. (Note: Each answer below should report either 1 or 2 decimal places.) [17 points]
(a) Calculate the gross profit margin ratio using financial statement data.
(b) Calculate the net profit margin ratio using financial statement data.
(c) Calculate the debt ratio using financial statement data.
(d) Calculate the return on assets ratio using an algebraic relationship that employs other
financial ratios.
(e) Calculate the return on equity ratio using an algebraic relationship that employs other
financial ratios.
Homework Answers
Answer #1
Not the answer you're looking for?
Similar Questions
. Consider the following financial statement data (in millions of dollars): Gross profit, $6; Total ...
. Consider the following financial statement data (in millions
of dollars): Gross profit, $6; Total
debt = Stockholders’ equity; Sales, $30; Tax
rate, 50%; Total assets, $20; Earnings before
taxes, $8. (Note: Each answer below should
report either 1 or 2 decimal places.) [17 points]
(a) Calculate the gross profit margin ratio using financial
statement data.b) Calculate the net profit margin ratio using
financial statement data.(c) Calculate the debt ratio using
financial statement data.(d) Calculate the return...
The following financial statement data are taken from Segura's annual report: (in millions) Current assets $8,870...
The following financial statement data are taken from Segura's
annual report:
(in millions)
Current assets
$8,870
Other assets
606
Intangibles
915
Property, plant, and equipment
2,510
Current liabilities
7,513
Long-term liabilities
750
Long-term debt
1,332
Stockholders' equity
3,306
Compute the debt / tangible net worth
ratio.
a.
4.01 to 1
b.
1.34 to 1
c.
0.40 to 1
d.
3.90 to 1
e.
0.74 to 1
The following financial statement data are taken from Segura's annual report: (in millions) Current assets $8,870...
The following financial statement data are taken from Segura's
annual report:
(in millions)
Current assets
$8,870
Other assets
606
Intangibles
915
Property, plant, and equipment
2,510
Current liabilities
7,513
Long-term liabilities
750
Long-term debt
1,332
Stockholders' equity
3,306
Compute the debt / tangible net worth
ratio.
a.
4.01 to 1
b.
1.34 to 1
c.
3.90 to 1
d.
0.74 to 1
e.
0.40 to 1
The following financial data is from Hi-Tech Instruments' financial statements (thousands of dollars, except earnings per...
The following financial data is from Hi-Tech Instruments'
financial statements (thousands of dollars, except earnings per
share.)
2016
Sales revenue
$210,000
Cost of goods sold
125,000
Net income
8,300
Dividends
2,600
Earnings per share
4.15
Hi-Tech Instruments,
Inc.
Balance Sheet
(Thousands of Dollars)
Dec. 31, 2016
Dec. 31, 2015
Assets
Cash
19,300
$18,000
Accounts receivable (net)
46,000
41,000
Inventory
39,500
43,700
Total current assets
104,800
102,700
Plant assets (net)
52,600
50,500
Other assets
15,600
13,800
Total assets
173,000
$167,000
Liabilities...
Return on Assets The following financial data is from Hi-Tech Instruments' financial statements (thousands of dollars,...
Return on Assets
The following financial data is from Hi-Tech Instruments' financial
statements (thousands of dollars, except earnings per share.)
2016
Sales revenue
$210,000
Cost of goods sold
125,000
Net income
9,300
Dividends
3,600
Earnings per share
4.65
Hi-Tech
Instruments, Inc.
Balance Sheet
(Thousands of Dollars)
Dec. 31, 2016
Dec. 31, 2015
Assets
Cash
$19,800
$18,000
Accounts receivable (net)
46,000
41,000
Inventory
39,500
43,700
Total current assets
105,300
102,700
Plant assets (net)
52,600
50,500
Other assets
15,600
13,800
Total assets...
Coca-Cola Purpose Financial ratio analysis is one of the best techniques for identifying and evaluating internal...
Coca-Cola
Purpose Financial ratio analysis is one of the best techniques
for identifying and evaluating internal strengths and weaknesses.
Potential investors and current shareholders look closely at firms’
financial ratios, making detailed comparisons to industry averages
and to previous periods of time. Financial ratio analyses provide
vital input information for developing an IFE Matrix
Financial Ratios for Coca-Cola (2018)
Liquidity Ratios:
- Current ratio:
- Quick ratio:
Leverage Ratios:
- Debt-to-total-assets ratio:
- Debt-to-equity ratio:
- Long-term debt-to-equity ratio:
-...
Accounts Receivable Turnover The following financial data is from Hi-Tech Instruments' financial statements (thousands of dollars,...
Accounts Receivable Turnover
The following financial data is from Hi-Tech Instruments' financial
statements (thousands of dollars, except earnings per share.)
2016
Sales revenue
$209,000
Cost of goods sold
125,000
Net income
8,300
Dividends
2,600
Earnings per share
4.15
Hi-Tech Instruments,
Inc.
Balance Sheet
(Thousands of Dollars)
Dec. 31, 2016
Dec. 31, 2015
Assets
Cash
$18,300
$18,000
Accounts receivable (net)
45,000
40,000
Inventory
39,500
43,700
Total current assets
102,800
101,700
Plant assets (net)
52,600
50,500
Other assets
15,600
13,800
Total assets...
Trend Analysis - The following data pertain to Company A: (in millions) Year 2 Year 1...
Trend Analysis - The following data pertain to Company A:
(in millions)
Year 2
Year 1
Revenue
$39,474
$35,137
Net income
5,658
5,642
Accounts receivable
4,389
3,725
Inventory
2,290
1,926
Total current assets
10,151
9,130
Total assets
34,628
29,930
Total current liabilities
7,753
6,860
Total long-term
liabilities
9,641
7,702
Total stockholder equity
20,000
18,000
Common-Size Income Statements - Company A reported the following
income statements:
COMPANY A
INCOME STATEMENT
FOR THE YEARS ENDED DECEMBER
YEAR 2 AND YEAR 1
(in...
Ratio Analysis Presented below are summary financial data from Pompeo's annual report:( Amounts in millions )...
Ratio Analysis Presented below are summary financial data from
Pompeo's annual report:( Amounts in millions )
Balance Sheet:?
Cash and Cash Equivalents $2,200
Marketable Securities 16,200
Accounts Receivable (net) 10,000
Total Current Assets 42,000
Total Assets 155,000
Current Liabilities 30,000
Long-Term Debt 47,500
Shareholders' Equity 79,500
Income Statement:
Interest Expense 6,400
Net Income Before Taxes 36,800
Calculate the following ratios:
(Round to 2 decimal points)
a. Times-interest-earned ratio
b.quick ratio
c. current ratio
Company analysis. Given the financial data in the popup window for Disney (DIS) and McDonald's (MCD),...
Company analysis. Given the financial data in the popup window
for Disney (DIS) and McDonald's (MCD), compare these two
companies using the following financial ratios: debt ratio,
current ratio, total assetturnover, financial leverage, profit
margin, and return on equity. Which company would you invest in,
either as a bondholder or as a stockholder?
Disney
McDonald's
Sales
$48 comma 76548,765
$28 comma 14228,142
EBIT
$12 comma 29712,297
$8 comma 1038,103
Net Income
$7 comma 5737,573
$5 comma 5455,545
Current...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 13 minutes ago
asked 13 minutes ago
asked 34 minutes ago
asked 34 minutes ago
asked 52 minutes ago
asked 58 minutes ago
asked 58 minutes ago
asked 59 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago