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can you answer the written questions 1-5? Survey of Accounting Packet 26 Using the excel file provided in Canvas, calculate the following financial ratios for
can you answer the written questions 1-5?
Survey of Accounting Packet 26 Using the excel file provided in Canvas, calculate the following financial ratios for Lululemon, Nike, and Under Armour. Input all dollar answers in thousands of dollors (e.g., input $1,000,000 as $1,000) Ratio Lululemon (LULU) Nike (NKE) Under Armour (UA) Liquidity Ratios Working Capital 1,187,520 12,272,000 1,280,200 =1,807,938-620,418 =20,556-8,284 =2,702,209-1,422,009 Current Ratio 2.914 2.481 1.900 =1,807,938/620,418 =20,556/8,284 =2,702,209/1,422,009 Quick 1.827 1.393 1.053 Ratio =(1,093,505- =(8,348+439+2,749)/ =1788,072+ 40,219)/620,418 8,284 708,714)/1,422,009 Accoun ts Receiv able 104.711 10.655 7.739 Turnove =(3,979,296/((40,219+ = (37,403/((2.749+ =5,267,132/((708,714 r Ratio 35,786)/2)) 4,272)/2)) +652,546)/2) Averag e Days to Collect Receiv 3.49 34.26 47.17 ables =365/104.711 =365/10.655 =365/7.739 Invento 2.926 ry 3.803 3.258 = 2.796,599/((892,258 Turnove = 1,755,910/((518,513+ =21,162/(17,367+5,62 r Ratio 404,842)/2 2/2 1,019,496)/2 + Survey of Accounting Packet 26 Averag e Days to sell Invento 95.97 112.02 124.76 ry =365/3,803 =365/3,258 =365/2,926 Solvency Ratios Debt to 0.743 Assets 0.405 =(8,284+9,406+2,913 0.556 Ratio =1,329,136/3,281,254 +2,684/31,342 =2,693,444/4,843,531 Under Armour Ratio Lululemon (LULU) Nike (NKE) (UA) Debt to 0.681 2.891 Equity =1,329,136/ = 18,284+9,406+2,913 1.253 Ratio 1,952,218 +2,684)/8,055 =2,694,444/2,150,087 Times 10.880 Interest 33.438 =(209,842-21,240)/- Earned N/A =2,539/37,403 21,240 Profitability Ratios Net Margin (Return on 0.162 0.068 0.017 Sales) =645,596/3,979,296 =2,539/37,403 =92,139/5,267,132 Asset 1.483 1.359 1.159 Turnove =3,979,296/(3,281,35 =37,403/((31,342+23, =5,267,132/((4.843,53 r Ratio 4+2,084,711)/2) 717)/2 1 +4,245,022)/2 Return on Assets 0.241 0.092 0.020 (ROA) =645,596/((3,281,354+ =2,539/((31,342+23,7 =92,139/((4.843,531+ Return 2.084,711)/2) 17)/2 4,245,022)/2) Survey of Accounting Packet 26 on Investm ent [Rol]) Return on 0.380 0.297 0.044 Equity =645,596/((1.952,218+ =2,539/((8,055+ =92,139/((2,150,087+ (ROE) 1,445,975)/2 9,040)/2 2,016,871)/2 Stock Market Ratios Earning s Per 4.95 1.63 0.20 Share =on chart =on chart =on chart Price- Earning s (P/E) 49.77 61.07 95.90 Ratio* =246.37/4.95 =99.54/1.63 =19.18/0.20 *The stock prices at their fiscal year end were the following: LULU $246.37 NKE $99.54 UA $19.18 Survey of Accounting Packet 26 Perform vertical and horizontal analysis of each company's income statement and balance sheet to be able to answer the following questions. 1. Which company holds the most cash as a percentage of assets? Which company holds the least 2. Which company has the highest gross profit company has the lowest? entage? Which 3. Which company experienced the greatest percentage growth in net income? 4. Which company makes the most profit from $1 of sales? Which company makes the least? 5. Which company has the highest retained earnings as a proportion of total assets? Which company has the lowest Step by Step Solution
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