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Balance Sheets as of December 31, 2013 and 2014 2013 2014 2013 2014 Assets Liabilities and Owners Equity Current assets Current liabilities Cash $ 2,851
Balance Sheets as of December 31, 2013 and 2014 | ||||||||||
2013 | 2014 | 2013 | 2014 | |||||||
Assets | Liabilities and Owners Equity | |||||||||
Current assets | Current liabilities | |||||||||
Cash | $ | 2,851 | $ | 2,707 | Accounts payable | $ | 2,213 | $ | 2,720 | |
Accounts receivable | 4,707 | 5,661 | Notes payable | 1,810 | 2,236 | |||||
Inventory | 12,718 | 13,662 | Other | 102 | 119 | |||||
Total | $ | 20,276 | $ | 22,030 | Total | $ | 4,125 | $ | 5,075 | |
Long-term debt | $ | 14,500 | $ | 17,260 | ||||||
Owners equity | ||||||||||
Common stock | ||||||||||
and paid-in surplus | $ | 44,000 | $ | 44,000 | ||||||
Fixed assets | Accumulated retained earnings | 15,714 | 39,988 | |||||||
Net plant and equipment | $ | 58,063 | $ | 84,293 | Total | $ | 59,714 | $ | 83,988 | |
Total assets | $ | 78,339 | $ | 106,323 | Total liabilities and owners equity | $ | 78,339 | $ | 106,323 | |
SMOLIRA GOLF, INC. 2014 Income Statement | ||
Sales | $ | 189,770 |
Cost of goods sold | 127,403 | |
Depreciation | 5,213 | |
EBIT | $ | 57,154 |
Interest paid | 1,310 | |
Taxable income | $ | 55,844 |
Taxes | 19,545 | |
Net income | $ | 36,299 |
Dividends | $ | 12,025 |
Retained earnings | 24,274 | |
Required: |
Find the following financial ratios for Smolira Golf (use year-end figures rather than average values where appropriate): (Do not round intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16). Enter the profitability ratios as percents.) |
2013 | 2014 | |||||
Short-term solvency ratios | ||||||
a. | Current ratio | times | times | |||
b. | Quick ratio | times | times | |||
c. | Cash ratio | times | times | |||
Asset utilization ratios | ||||||
d. | Total asset turnover | times | ||||
e. | Inventory turnover | times | ||||
f. | Receivables turnover | times | ||||
Long-term solvency ratios | ||||||
g. | Total debt ratio | times | times | |||
h. | Debt-equity ratio | times | times | |||
i. | Equity multiplier | times | times | |||
j. | Times interest earned ratio | times | ||||
k. | Cash coverage ratio | times | ||||
Profitability ratios | ||||||
l. | Profit margin | % | ||||
m. | Return on assets | % | ||||
n. | Return on equity | % | ||||
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