Question
Assets Current assets: Cash and marketable securities $ 6,936 $ 7,047 Accounts receivable 5,794 6,015 Inventories 43,963 43,226 Other current assets 3,691 2,121 Total current
Assets | |||||
Current assets: | |||||
Cash and marketable securities | $ | 6,936 | $ | 7,047 | |
Accounts receivable | 5,794 | 6,015 | |||
Inventories | 43,963 | 43,226 | |||
Other current assets | 3,691 | 2,121 | |||
Total current assets | $ | 60,384 | $ | 58,409 | |
Fixed assets: | |||||
Net fixed assets | $ | 114,998 | $ | 114,358 | |
Other long-term assets | 30,220 | 27,138 | |||
Total assets | $ | 205,602 | $ | 199,905 | |
Liabilities and Shareholders' Equity | |||||
Current liabilities: | |||||
Accounts payable | $ | 46,272 | $ | 41,613 | |
Other current liabilities | 32,609 | 25,675 | |||
Total current liabilities | $ | 78,881 | $ | 67,288 | |
Long-term debt | 37,005 | 42,198 | |||
Other long-term liabilities | 11,487 | 12,261 | |||
Total liabilities | $ | 127,373 | $ | 121,747 | |
Total shareholders' equity | 78,229 | 78,158 | |||
Total liabilities and shareholders equity | $ | 205,602 | $ | 199,905 | |
Income Statement (figures in $ millions) | |||||
Net sales | $ | 500,523 | $ | 486,053 | |
Cost of goods sold | 373,576 | 361,436 | |||
Selling, general, and administrative expenses | 96,161 | 91,953 | |||
Depreciation | 10,709 | 10,260 | |||
Earnings before interest and taxes (EBIT) | $ | 20,077 | $ | 22,404 | |
Interest expense | 2,358 | 2,447 | |||
Taxable income | $ | 17,719 | $ | 19,957 | |
Tax | 4,600 | 6,985 | |||
Net income | $ | 13,119 | $ | 12,972 | |
Dividends | 6,304 | 6,875 | |||
Addition to retained earnings | $ | 6,815 | $ | 6,097 | |
Assume a tax rate of 35%. Calculate the following using balance-sheet figures from the start of the year and Income statement figures from the end of the year:
a. Calculate the return on assets. (Enter your answer as a percent rounded to 2 decimal places.)
b. Calculate the operating profit margin. (Enter your answer as a percent rounded to 2 decimal places.)
c. Calculate the sales-to-assets ratio. (Round your answer to 2 decimal places.)
d. Calculate the inventory turnover. (Round your answer to 2 decimal places.)
e. Calculate the debt-equity ratio. (Round your answer to 4 decimal places.)
f. Calculate the current ratio. (Round your answer to 3 decimal places.)
g. Calculate the quick ratio. (Round your answer to 4 decimal places.)
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