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ANSWER EVERYTHING I HAVE DONE PART OF THE QUESTION ANSWER PART 2 C and 2 D 2 D 2.) Coca-Cola Inc. had earnings in 2012
ANSWER EVERYTHING I HAVE DONE PART OF THE QUESTION
ANSWER PART 2 C and 2 D
2 D
2.) Coca-Cola Inc. had earnings in 2012 of $512 million on sales of $9.13 billion. The company's balance sheet also listed Current assets of $300 million, and Fixed assets of $5.5 billion. a. What is the firms Net Profit Margin? (2 points) Profit Margin = Earnings / Sales = 512,000,000 / 9,130,000,000 = 0.05607 = 5.61% b. What is the firms ROA? (2 points) ROA = Earnings /TA TA = CA+FA = 300,000,000 + 5,500,000,000 = 5,800,000,000 ROA = 512,000,000 / 5,800,000,000 = 0.08827 = 8.83% c. If the firm has 1 million public shares, what is its EPS? (2 points) What is Prufrock Corp's Current Ratio, Acid-test ratio, Times Interest Earned, Total profit Margin, ROE, ROA and Total Asset Turnover ratio in 2015? Refer to the financial statements on the next page to calculate these ratios. (9 points) Prufrock Corp. Income Statement ($ millions) $ 2015 2,311 1,344 276 Net Sales Cost of goods sold Depreciation Earnings before int & taxes Interest expense Taxable income Less: Taxes Net Income 691 141 550 187 363 34% $ Prufrock Corp Balance Sheet ($ millions) 2015 2015 2014 84 $ $ $ 344 Cash Acc'ts Receivable Inventory Total 165 393 642 98 188 422 708 Accounts Payable Notes Payable Total Long-term Debt 2014 312 $ 231 543 531 196 540 457 Net Fixed Assets 2,731 2,880 500 Common Stock* Retained Earnings Total 1,799 3,373 550 2,041 3,588 Total Assets $ 3,373 $ 3,588 $ $ * par value of $1 per shareStep by Step Solution
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