Accounts payable Notes payable Accruals "Tatal current liabilities Loog-term debe Common stock Retained earings Total equity Total liabilities and equily 10.8% 22.3% 9.6% 42.7% 31.2% 15.1% 11% 26% 100% 11.9% 2.4% 9.5% 23.7" 26.3% 20.01 30.07% 50.0% 100.11 Common Size Income Statement 2019 2018 Industry Sales 100% 100.0% Cost of gods sale! 8.9.2% % 84.5% Orber expenses 10.2% 4.4% Depreciation 1.9% Total penting costs 95.1% 92.9 EBIT 4.75% 7.1% Interest expense 1.99% 1.1% TRT 2.9% 5.9% Taxes (40%) 1.15% Mcllccm 1.72% 1.6% Financial Ratios 20 2018 Industry Avg 19 Current Quick Inventory Turnover Days Sales Outstanding Fixed Asset Tumover Total Awet Turiver Debt ratio TIE Profit Margin Return on Assets Keturn in Equity Price Camings 1.5X 0.5X 4.5X 35.9 5.9X 2.0X 53 2.53X 1.725 3.46% 13.3% 8.5X 2.7X 1.OX BIX 12 7.OX 2.5X 28.7% 6.2X 9.0% 17.94 12.4% Questions: 1. What was WestCoast's NOPAT for 2019? DONE 2. What was its Free Cash Flow amount for 2019? DONE What does the term "Free Cash Flow" mean? DONE What can the company use Free Cash Flow for? DONE 1. What was its Return on invested Capital (ROIC) for 2019? Compared to the company's WACC, did the company's growth add value for the year? DONE 4. What was the company's Economic Value Added (EVA) for 2019? 5. Did the company increase its Market Value Added (MVA) between 2018 and 2019? 6. Perform Ratio Analysis for 2019 year: a. Calculate the Current and Quick ratios. Ilas the company's liquidity_position improved or worsened? DONE Calculate the Inventory Turnover, Days Sales Outstanding, Fixed Asset Turnover, Total Asset Turnover ratios. How well has the company managed its assets DONE c. Calculate the Debt ratio and Times Interest Earned ratios and compare to industry average. What can you conclude about its debt management? d. Calculate the Profit Margin, Return on Assets, Return on Equity ratios. - How has the company's profitability changed? 6. Calculate the P/E Ratio. What can you conclude . LAW Finance 211 - Assignment #1 Submit your answers using the Assignment #1 Online link in Moodle A. You are on the Board of Directors reviewing the performance of WestCoast Ski and Boards Inc. Analyze the following financial data of West Coast for the 2019 and 2018 years to answer the following questions. Balance Sheets Axels Cash Shunurm invextienis Accounts receivable Inventorics Total current assets Gross fixed assets Less: accumulated depreciation Net fixed assets Total assots 2019 2018 13,400 $ 10.852 901,IXIO 41,000) 634,800 602.026 1.319.852 1.348.620 1,998,1952 2.0102.498 1.486,500 1.350.950 44,180 305.281) 10146420 1.045,670 3.044,472 S 3.048.168 Liabilities and Family Accounts payable Notes payable Accruals Total current liabilities Long-lora del Common stock (100,000 shares) Retnined earnings Total city Total liabilities and equity 2019 2018 298,400 $ 330,000 600,000 680.000 2X7.30 292,936 1,185,700 1,302.936 870,000 950.000 461),IXID 461,6100 528,772 335.212 988,722 795.232 3.(144472 53.048,168 Income Statements 2019 2018 6.740.600 S 6.126,40X0 Cost of goods sold 5,680.100 5,096,000 Other expenses 472.00 24.01XI Depreciation 134.800 113,4100 Total operating costs 6,286.901 5,835.400 TERIT 453,71X0 291,01X0 latcrest expense 97.800 115.000 EBT 355,VIXI 176.0IXI Taxes (40%) 142.3M) 70,40X8 Not income $213.540 SLOS.600 Dividends and $20.00XI $ 10.01X! Other Data 2019 2018 Stack ince S20 SIO WACC 10% 10% Common Size Balance Sheets dssers 2019 Cash Short term investments Accounts receivable Tuvcatories Tatal current assets Gross fixed assets Less accumulatod depreciation Nel fixed assets Totul assets 2018 Industy 0.3% 1.4% % 0.39 19.8% 22.4" 44.2% 41.29 65.7% 61.1 44.37% 53.9% 10.02% 34.1% 35.99 100% 100.0% Liabilities and Equity 2019 2011 Industry Accounts payable Notes payable Accruals 10.8% 229 4.64 119 2.49 4599 Accounts payable Notes payable Accruals "Tatal current liabilities Loog-term debe Common stock Retained earings Total equity Total liabilities and equily 10.8% 22.3% 9.6% 42.7% 31.2% 15.1% 11% 26% 100% 11.9% 2.4% 9.5% 23.7" 26.3% 20.01 30.07% 50.0% 100.11 Common Size Income Statement 2019 2018 Industry Sales 100% 100.0% Cost of gods sale! 8.9.2% % 84.5% Orber expenses 10.2% 4.4% Depreciation 1.9% Total penting costs 95.1% 92.9 EBIT 4.75% 7.1% Interest expense 1.99% 1.1% TRT 2.9% 5.9% Taxes (40%) 1.15% Mcllccm 1.72% 1.6% Financial Ratios 20 2018 Industry Avg 19 Current Quick Inventory Turnover Days Sales Outstanding Fixed Asset Tumover Total Awet Turiver Debt ratio TIE Profit Margin Return on Assets Keturn in Equity Price Camings 1.5X 0.5X 4.5X 35.9 5.9X 2.0X 53 2.53X 1.725 3.46% 13.3% 8.5X 2.7X 1.OX BIX 12 7.OX 2.5X 28.7% 6.2X 9.0% 17.94 12.4% Questions: 1. What was WestCoast's NOPAT for 2019? DONE 2. What was its Free Cash Flow amount for 2019? DONE What does the term "Free Cash Flow" mean? DONE What can the company use Free Cash Flow for? DONE 1. What was its Return on invested Capital (ROIC) for 2019? Compared to the company's WACC, did the company's growth add value for the year? DONE 4. What was the company's Economic Value Added (EVA) for 2019? 5. Did the company increase its Market Value Added (MVA) between 2018 and 2019? 6. Perform Ratio Analysis for 2019 year: a. Calculate the Current and Quick ratios. Ilas the company's liquidity_position improved or worsened? DONE Calculate the Inventory Turnover, Days Sales Outstanding, Fixed Asset Turnover, Total Asset Turnover ratios. How well has the company managed its assets DONE c. Calculate the Debt ratio and Times Interest Earned ratios and compare to industry average. What can you conclude about its debt management? d. Calculate the Profit Margin, Return on Assets, Return on Equity ratios. - How has the company's profitability changed? 6. Calculate the P/E Ratio. What can you conclude . LAW Finance 211 - Assignment #1 Submit your answers using the Assignment #1 Online link in Moodle A. You are on the Board of Directors reviewing the performance of WestCoast Ski and Boards Inc. Analyze the following financial data of West Coast for the 2019 and 2018 years to answer the following questions. Balance Sheets Axels Cash Shunurm invextienis Accounts receivable Inventorics Total current assets Gross fixed assets Less: accumulated depreciation Net fixed assets Total assots 2019 2018 13,400 $ 10.852 901,IXIO 41,000) 634,800 602.026 1.319.852 1.348.620 1,998,1952 2.0102.498 1.486,500 1.350.950 44,180 305.281) 10146420 1.045,670 3.044,472 S 3.048.168 Liabilities and Family Accounts payable Notes payable Accruals Total current liabilities Long-lora del Common stock (100,000 shares) Retnined earnings Total city Total liabilities and equity 2019 2018 298,400 $ 330,000 600,000 680.000 2X7.30 292,936 1,185,700 1,302.936 870,000 950.000 461),IXID 461,6100 528,772 335.212 988,722 795.232 3.(144472 53.048,168 Income Statements 2019 2018 6.740.600 S 6.126,40X0 Cost of goods sold 5,680.100 5,096,000 Other expenses 472.00 24.01XI Depreciation 134.800 113,4100 Total operating costs 6,286.901 5,835.400 TERIT 453,71X0 291,01X0 latcrest expense 97.800 115.000 EBT 355,VIXI 176.0IXI Taxes (40%) 142.3M) 70,40X8 Not income $213.540 SLOS.600 Dividends and $20.00XI $ 10.01X! Other Data 2019 2018 Stack ince S20 SIO WACC 10% 10% Common Size Balance Sheets dssers 2019 Cash Short term investments Accounts receivable Tuvcatories Tatal current assets Gross fixed assets Less accumulatod depreciation Nel fixed assets Totul assets 2018 Industy 0.3% 1.4% % 0.39 19.8% 22.4" 44.2% 41.29 65.7% 61.1 44.37% 53.9% 10.02% 34.1% 35.99 100% 100.0% Liabilities and Equity 2019 2011 Industry Accounts payable Notes payable Accruals 10.8% 229 4.64 119 2.49 4599