Calculate the following using the Johnson & Johnson Financial Statements Provided: a) What is the Inventory Turnover Ratio for 2020? b) What is the Net Margin for 2020? c) What is the Debt Ratio for 2020? JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS At January 3, 2021 and December 29, 2019 (Dollars in Millions Except Share and Per Share Amounts) (Note 1) 2020 2019 13,985 11,200 13,576 9,344 3,132 51,237 18,766 53,402 36,393 8,534 6,562 174,894 17,305 1,982 14,481 9,020 2,392 94 45,274 17,658 47,643 33,639 7,819 5,695 157,728 Assets Current assets Cash and cash equivalents (Notes 1 and 2) Marketable securities (Notes 1 and 2) Accounts receivable trade, less allowances for doubtful accounts $293 (2019, $226) Inventories (Notes 1 and 3) Prepaid expenses and other receivables Assets held for sale (Note 18) Total current assets Property, plant and equipment, net (Notes 1 and 4) Intangible assets, net (Notes 1 and 5) Goodwill (Notes 1 and 5) Deferred taxes on income (Note 8) Other assets Total assets Liabilities and Shareholders' Equity Current liabilities Loans and notes payable (Note 7) Accounts payable Accrued liabilities Accrued rebates, returns and promotions Accrued compensation and employee related obligations Accrued taxes on income (Note 8) Total current liabilities Long-term debt (Note 7) Deferred taxes on income (Note 8) Employee related obligations (Notes 9 and 10) Long-term taxes payable (Note 1) Other liabilities Total liabilities Commitments and Contingencies (Note 19) Shareholders' equity Preferred stock --- without par value (authorized and unissued 2,000,000 shares) Common stock - par value $1.00 per share (Note 12) (authorized 4,320,000,000 shares; issued 3,119,843,000 shares) Accumulated other comprehensive income (loss) (Note 13) Retained earnings Less: common stock held in treasury, at cost (Note 12) (487,331,000 shares and 487,336,000 shares) Total shareholders' equity Total liabilities and shareholders' equity 2,631 9,505 13,968 11,513 3,484 1,392 42,493 32,635 7,214 10,771 6,559 11,944 111,616 1,202 8,544 9,715 10,883 3,354 2,266 35,964 26,494 5,958 10,663 7.444 11,734 98,257 3,120 (15,242) 113,890 101,768 38,490 63,278 174,894 3,120 (15,891) 110,659 97,888 38,417 59,471 157,728 il JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EARNINGS (Dollars and Shares in Millions Except Per Share Amounts) (Note 1) 2020 Sales to customers 82,584 Cost of products sold 28,427 Gross profit 54,157 Selling, marketing and administrative expenses 22,084 Research and development expense 12,159 In-process research and development (Note 5) 181 Interest income (111) Interest expense, net of portion capitalized (Note 4) 201 Other (income) expense, net 2,899 Restructuring (Note 20) 247 Earnings before provision for taxes on income 16,497 Provision for taxes on income (Note 8) 1,783 Net earnings 14,714 2019 82,059 27,556 54,503 22,178 11,355 890 (357) 318 2,525 266 17,328 2,209 15,119 2018 81,581 27,091 54,490 22,540 10,775 1,126 (611) 1,005 1,405 251 17,999 2,702 15,297 5.59 5.51 5.72 5.63 5.70 5.61 Net earnings per share (Notes 1 and 15) Basic Diluted Average shares outstanding (Notes 1 and 15) Basic Diluted 2,632.8 2,670.7 2,645.1 2,684.3 2,681.5 2,728.7
