Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Calculate the RATIO of the following: Marnus Inc Income Statement For the Financial Year ended 12/31/19 $150,000,000 ($130,000,000) $20,000,000 12/31/18 $140,000,000 ($123,000,000) $17,000,000 $9,000,000 $10,000,000

image text in transcribedimage text in transcribed

Calculate the RATIO of the following:

image text in transcribed

Marnus Inc Income Statement For the Financial Year ended 12/31/19 $150,000,000 ($130,000,000) $20,000,000 12/31/18 $140,000,000 ($123,000,000) $17,000,000 $9,000,000 $10,000,000 Statement values in 000's Period Ending: Total Revenue (Net Revenue) Cost of Revenue (COGS) Gross Profit Operating Expenses Sales, General and Admin. Other Operating Items Total Operating Exp Operating Income (or loss) Interest Expense Earnings Before Tax Income Tax Net Income (or loss) $0 $0 | ($9,000,000) $11,000,000 ($1,000,000) $10,000,000 ($5,000,000) $5,000,000 ($10,000,000) $7,000,000 ($800,000) $6,200,000 ($4,000,000) $2,200,000 Dividends declared and paid Preferred Ordinary Ord Shares OS as of given date $ $ 12/31/19 500,000 1,000,000 1,000,000 $60.00 $ $ 12/31/18 400,000 1,000,000 1,000,000 $40.00 Stock Price as of given date Marnus Inc Balance Sheet As of Dec 31st 12/31/19 12/31/18 Statement values in 000's Period Ending: Current Assets Cash and Cash Equivalents Short-Term Investments Net Receivables Inventory Other Current Assets Total Current Assets Long-Term Assets Long-Term Investments Fixed Assets Intangible Assets Other Assets Total Assets $15,000,000 $8,000,000 $28,000,000 $12,000,000 $5,000,000 $68,000,000 $10,000,000 $12,000,000 $24,000,000 $10,000,000 $3,000,000 $59,000,000 $30,000,000 $80,000,000 $8,000,000 $5,000,000 $191,000,000 $25,000,000 $76,000,000 $6,000,000 $4,000,000 $170,000,000 Current Liabilities Accounts Payable Short-Term Debt Other Current Liabilities Total Current Liabilities Long-Term Debt Other Liabilities Total Liabilities Stock Holders Equity Common Stocks Retained Earnings Total Equity Total Liabilities & Equity $34,000,000 $16,000,000 $9,500,000 $59,500,000 $45,000,000 $32,000,000 $136,500,000 $30,000,000 $15,000,000 $8,000,000 $53,000,000 $40,000,000 $30,000,000 $123,000,000 $24,000,000 $30,500,000 $54,500,000 $191,000,000 $20,000,000 $27,000,000 $47,000,000 $170,000,000 Tests of Solvency 14. Times interest earned ratio - ([Net Income + Interest Expense + Income Tax Expenses] / Interest Expense) - Net Income + Interest Expense + Income Tax Expenses = EBIT 15. Debt-to-Equity Ratio - Total Liabilities / Stock holders equity 16. Leverage - Total Liabilities / Total Assets Market Tests 17. Price Earnings Ratio - Current Market Price / EPS 18. Dividend Yield ratio - Dividends per share / Market Price per share Marnus Inc Income Statement For the Financial Year ended 12/31/19 $150,000,000 ($130,000,000) $20,000,000 12/31/18 $140,000,000 ($123,000,000) $17,000,000 $9,000,000 $10,000,000 Statement values in 000's Period Ending: Total Revenue (Net Revenue) Cost of Revenue (COGS) Gross Profit Operating Expenses Sales, General and Admin. Other Operating Items Total Operating Exp Operating Income (or loss) Interest Expense Earnings Before Tax Income Tax Net Income (or loss) $0 $0 | ($9,000,000) $11,000,000 ($1,000,000) $10,000,000 ($5,000,000) $5,000,000 ($10,000,000) $7,000,000 ($800,000) $6,200,000 ($4,000,000) $2,200,000 Dividends declared and paid Preferred Ordinary Ord Shares OS as of given date $ $ 12/31/19 500,000 1,000,000 1,000,000 $60.00 $ $ 12/31/18 400,000 1,000,000 1,000,000 $40.00 Stock Price as of given date Marnus Inc Balance Sheet As of Dec 31st 12/31/19 12/31/18 Statement values in 000's Period Ending: Current Assets Cash and Cash Equivalents Short-Term Investments Net Receivables Inventory Other Current Assets Total Current Assets Long-Term Assets Long-Term Investments Fixed Assets Intangible Assets Other Assets Total Assets $15,000,000 $8,000,000 $28,000,000 $12,000,000 $5,000,000 $68,000,000 $10,000,000 $12,000,000 $24,000,000 $10,000,000 $3,000,000 $59,000,000 $30,000,000 $80,000,000 $8,000,000 $5,000,000 $191,000,000 $25,000,000 $76,000,000 $6,000,000 $4,000,000 $170,000,000 Current Liabilities Accounts Payable Short-Term Debt Other Current Liabilities Total Current Liabilities Long-Term Debt Other Liabilities Total Liabilities Stock Holders Equity Common Stocks Retained Earnings Total Equity Total Liabilities & Equity $34,000,000 $16,000,000 $9,500,000 $59,500,000 $45,000,000 $32,000,000 $136,500,000 $30,000,000 $15,000,000 $8,000,000 $53,000,000 $40,000,000 $30,000,000 $123,000,000 $24,000,000 $30,500,000 $54,500,000 $191,000,000 $20,000,000 $27,000,000 $47,000,000 $170,000,000 Tests of Solvency 14. Times interest earned ratio - ([Net Income + Interest Expense + Income Tax Expenses] / Interest Expense) - Net Income + Interest Expense + Income Tax Expenses = EBIT 15. Debt-to-Equity Ratio - Total Liabilities / Stock holders equity 16. Leverage - Total Liabilities / Total Assets Market Tests 17. Price Earnings Ratio - Current Market Price / EPS 18. Dividend Yield ratio - Dividends per share / Market Price per share

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cornerstones Of Financial Accounting

Authors: Jay Rich, Jefferson Jones, Maryanne Mowen, Don Hansen, Donald Jones, Ralph Tassone

3rd Canadian Edition

017689859X, 9780176898595

More Books

Students also viewed these Accounting questions