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Calculate the following ratios based on the financial statements on the next page: Current ratio Gross profit margin Operating profit margin Net profit margin Times
Calculate the following ratios based on the financial statements on the next page:
Current ratio
Gross profit margin
Operating profit margin
Net profit margin
Times interest earned
Return on stockholders equity
Return on assets
Debt-to-equity ratio
Inventory turnover ratio
Income Statement ($ millions) Revenues Cost of Goods Sold Gross Profit Operating Expense Earnings Before Interest & Taxes Interest Expense Earnings Before Taxes Income Tax Expense Net Income $ 57 Statement of Retained Earnings ($ millions) Beginning Retained Earnings Net Income Dividends Ending Retained Earnings 25 Balance Sheet ($ millions) Cash $ Receivables Inventory Current Assets Property, Plant & Equipment Total Assets 40 $ 100 300 400 $ 10 120 $ 130 Current Liabilities $ Long-Term Liabilitie: Total Liabilities Common Stock@Par Retained Earnings Common Equity Total Liabilities & Common Equity 210 60 270 $ 400 Question #6 Calculate the following ratios based on the financial statements on the next page: Current ratio Gross profit margin Operating profit margin Net profit margin Times interest earned Return on stockholders' equity Return on assets Debt-to-equity ratio Inventory turnover ratioStep by Step Solution
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