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Below is the balance sheet for 2020 and 2021 and the income statement for 2021 for some company Use the information to answer the questions

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1-2021 common size balance sheet 2-Balance sheet common base year statement Explanation: BASE YEAR IS 2020 EQUATION IS 2021- 2020/2020 Balance sheet cash=3783734385/34385=0.10%Accountreceivable=2776617801/17801=0.55%Inventory=4263236310/36310=0.17%total=10823588496/88496=0.22%plantandequipment=519633464315/464315=0.11%totalassets=627868552811/552811=0.13% Liabilities and owners equity Accountpayable=4258236722/36722=0.15%Notespayable=1620019008/19008=0.14%other=2463419864/19864=0.20%total=8341675594/75594=0.10% Long term debt =145000 115000/115000=0.26% Owners equity Common stock =5500055000/55000=0% Accumulated retained earnings =344452 307217/30721=0.12% Total =399452 362217/362217=0.10% Total liabilities and owners equity =627868 552811/552811=0.13% Source and use of the cash from the balance 4- solvency ratio 2021 1-currentratio Explanation: Equation = current asset / current liability CALCULATION Total current asset =108235 Total current liability =83416 so current ratio =108235/83416=1.29 times 2020 - current ratio Total current asset =88496 Total current liability =75594 so current ratio =1.17 time Explanation: Current asset include cash, Account receivable, inventory and current liability include account payable, notes payable and other 2- Quick ratio Explanation: Equation = quick asset / current liability 2021- quick ratio Total quick asset =65603(37837+27766) Total current liability =83416 so quick ratio =65603/83416=0.78 times 2020- Quick ratio Total quick asset =52186(34385+17801) Total current liability =75594 so the quick ratio =52186/75594=0.69 times Explanation: Quick asset is not included the inventory 3- cash ratio Explanation: Equation = cash and cash equivalents + marketable securities / current liability Calculation 2020- cash ratio cash =34385 Total current liability =75594 cash ratio =34385/75594=0.45 times 2021 - cash ratio cash =37837 total current liability =83416 cash ratio =37837/83416=0.45 times Below is the balance sheet for 2020 and 2021 and the income statement for 2021 for some company. Use the information to answer the questions below. 5. Asset utilization (efficiency ratios): i. Total Asset Turnover ii. Inventory Turnover iii. Receivables Turnover 6. Solvency ratios: i. Total debt ratio ii. Debt-equity ratio iii. Equity multiplier iv. Times interest earned ratio v. Cash coverage ratio 7. Profitability ratios: i. Profit margin ii. Return on asset (ROA) iii. Return on equity (ROE) 8. Construct the Dupont identity. 9. Suppose this company has 20,000 shares outstanding and the price of the stock is $58 at the end of 2021. i. What is the price-earnings ratio? ii. What are the dividends per share? iii. What is the market-to-book ratio at the end of 2021 ? 1-2021 common size balance sheet 2-Balance sheet common base year statement Explanation: BASE YEAR IS 2020 EQUATION IS 2021- 2020/2020 Balance sheet cash=3783734385/34385=0.10%Accountreceivable=2776617801/17801=0.55%Inventory=4263236310/36310=0.17%total=10823588496/88496=0.22%plantandequipment=519633464315/464315=0.11%totalassets=627868552811/552811=0.13% Liabilities and owners equity Accountpayable=4258236722/36722=0.15%Notespayable=1620019008/19008=0.14%other=2463419864/19864=0.20%total=8341675594/75594=0.10% Long term debt =145000 115000/115000=0.26% Owners equity Common stock =5500055000/55000=0% Accumulated retained earnings =344452 307217/30721=0.12% Total =399452 362217/362217=0.10% Total liabilities and owners equity =627868 552811/552811=0.13% Source and use of the cash from the balance 4- solvency ratio 2021 1-currentratio Explanation: Equation = current asset / current liability CALCULATION Total current asset =108235 Total current liability =83416 so current ratio =108235/83416=1.29 times 2020 - current ratio Total current asset =88496 Total current liability =75594 so current ratio =1.17 time Explanation: Current asset include cash, Account receivable, inventory and current liability include account payable, notes payable and other 2- Quick ratio Explanation: Equation = quick asset / current liability 2021- quick ratio Total quick asset =65603(37837+27766) Total current liability =83416 so quick ratio =65603/83416=0.78 times 2020- Quick ratio Total quick asset =52186(34385+17801) Total current liability =75594 so the quick ratio =52186/75594=0.69 times Explanation: Quick asset is not included the inventory 3- cash ratio Explanation: Equation = cash and cash equivalents + marketable securities / current liability Calculation 2020- cash ratio cash =34385 Total current liability =75594 cash ratio =34385/75594=0.45 times 2021 - cash ratio cash =37837 total current liability =83416 cash ratio =37837/83416=0.45 times Below is the balance sheet for 2020 and 2021 and the income statement for 2021 for some company. Use the information to answer the questions below. 5. Asset utilization (efficiency ratios): i. Total Asset Turnover ii. Inventory Turnover iii. Receivables Turnover 6. Solvency ratios: i. Total debt ratio ii. Debt-equity ratio iii. Equity multiplier iv. Times interest earned ratio v. Cash coverage ratio 7. Profitability ratios: i. Profit margin ii. Return on asset (ROA) iii. Return on equity (ROE) 8. Construct the Dupont identity. 9. Suppose this company has 20,000 shares outstanding and the price of the stock is $58 at the end of 2021. i. What is the price-earnings ratio? ii. What are the dividends per share? iii. What is the market-to-book ratio at the end of 2021

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