2 3 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 26285888588388 54 57 59 60 61 64 66 From the income statement From the balance sheet Your Firm's Key Financial Ratios Cash cycle, leverage, and ROE. How healthy is your firm? Inputs (millions of dollars) EBIT EBT Interest Net Income Sales CGS Long Term Debt Total Assets Equity Fixed Assets Notes Payable Accounts Receivables Inventory Current Assets Current Liabilities Accounts Payable Previous Current Assets Previous Current Liabilities Change in Working Capital Leverage Ratios (Can the firm pay off its debt?) EBIT/(Interest Expense) Interest Coverage Ratio Fixed Coverage Ratio Long-Term Leverage Ratio Total Leverage Ratio Profitability Ratios (Are revenues much higher than costs?)' Net Profit Margin Net Income / Sales EBT/ Sales Net Operating Profit Margin Gross Operating Profit Margir EBIT/Sales Gross Profit Margin Liquidity Ratios (days) Average Collection Period Inventory Tu