Question
B ased on the data please answer the following questions: 1) What is the firm's quick ratio in 2009? 2) What is the firm's days
Based on the data please answer the following questions: 1) What is the firm's quick ratio in 2009? 2) What is the firm's days sales outstanding in 2009? Assume a 365-day year for this calculation. 3) What is the firm's total assets turnover in 2009? 4) What is the firm's debt ratio in 2008 and 2009 respectively? What can you tell from the change? 5) What is the change in the Inventory from 2008 to 2009? Is this "use" or "source" or cash? Please explain. 6) What is the change in the Accounts Payable from 2008 to 2009? Is this "use" or "source" or cash? Please explain. 7) What is the change in the net working capital from 2008 to 2009? Is this "use" or "source" or cash? Please explain. 8) What is the DuPont Ratio in 2009? Show the three components of DuPont Ratio.
Galaxy Interiors 2009 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Less: Taxes Net income $21,415 16,408 1,611 3,396 1,282 $2,114 740 $1,374 Galaxy Interiors 2008 and 2009 Balance Sheets ($ in millions) Cash Accounts receivable Inventory Total Net fixed assets 2008 $668 1,611 3,848 $6,127 17,489 2009 $297 1,527 2,947 $4,771 17,107 Accounts payable Notes payable Total Long-term debt Common stock Retained earnings Total liab. & equity 2008 2009 $1,694 $1,532 2,500 0 $4,194 $1,532 9,800 10,650 7,500 7,000 2,122 2,696 $23,616 $21,878 Total assets $23,616 $21,878Step by Step Solution
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