Chapter 13 Analysis and interpretation of Financial Statements Industry Average ratios for Competitors Quick ratio Current ratio Accounts receivable turnover... Inventory turnover Debt-to-equity ratio .... Return on assets .... E the result to the industry SE13-1. Quick Ratio Calculate the company's quick ratio for 2016 and compare the result to the in compare the rest to the ind average LO4 SE13-2. Current Ratio Calculate the company's current ratio for 2016 and compare the result to be try average. SE3 Accounts Receivable Turnover Calculate th rever Calculate the company's accounts receivable turnover for and compare the result to the industry average. SE 13-4. Inventory Turnover Calculate the company's inventory turnover for 2016 and compare the to the industry average. SE13-5. Debit-to-Equity Ratio Calculate the company's 2016 debt-to-equity ratio and compare the rest the industry average SE13-6. Gross Profit Percentage Calculate the company's 2016 gross protit percentage and comme result to the industry average. SE13.7. Return on Sales Calculate the company's return on sales for 2016 and compare the resulta industry average. LO4 SE13-8. Return on Assets Calculate the company's return on assets for 2016 and compare the resultat industry average. LO4 SEIL.9. Dividends per Share Calculate the company's dividend paid per share of common stock. What was the dividend payout ratio? LO4 SE13.10. Earnings per Share If the company's most recent price per share of common stock is 562.25. is the company's price-carnings ratio and dividend yield? LO1 SE13.11. Persistent Earnings Identify each of the following items as either (P) persistent, or (T) transit a. Sale of merchandise. b. Settlement of a lawsuit. c. Interest income d Payment to vendors. e Loss from expropriations of property by a foreign government. LO2 SE13-12. Horizontal Analysis Total assets were $1.000.000 in 2016, 5900,000 in 2015, and $950,000 in 2014. What was the percentage change from 2014 to 2015 and from 2015 to 2016? Was the change an increase or a decrease? LOS SE13-13. Common-Size Income Statement A partial common-size income statement for Prag Company for three years is shown below. Item Net sales.... Cost of goods sold.... Other expenses........... .................... 2016 ..... 1000 605 ........ 21.0 2015 1000 630 19.0 2014 100.0 825 20.5 Did Prag's net income as a percentage of net sales increase, remain the same, or decrease three-year period? Chapter 13 Analysis and interpretation of Financial Statements Industry Average ratios for Competitors Quick ratio Current ratio Accounts receivable turnover... Inventory turnover Debt-to-equity ratio .... Return on assets .... E the result to the industry SE13-1. Quick Ratio Calculate the company's quick ratio for 2016 and compare the result to the in compare the rest to the ind average LO4 SE13-2. Current Ratio Calculate the company's current ratio for 2016 and compare the result to be try average. SE3 Accounts Receivable Turnover Calculate th rever Calculate the company's accounts receivable turnover for and compare the result to the industry average. SE 13-4. Inventory Turnover Calculate the company's inventory turnover for 2016 and compare the to the industry average. SE13-5. Debit-to-Equity Ratio Calculate the company's 2016 debt-to-equity ratio and compare the rest the industry average SE13-6. Gross Profit Percentage Calculate the company's 2016 gross protit percentage and comme result to the industry average. SE13.7. Return on Sales Calculate the company's return on sales for 2016 and compare the resulta industry average. LO4 SE13-8. Return on Assets Calculate the company's return on assets for 2016 and compare the resultat industry average. LO4 SEIL.9. Dividends per Share Calculate the company's dividend paid per share of common stock. What was the dividend payout ratio? LO4 SE13.10. Earnings per Share If the company's most recent price per share of common stock is 562.25. is the company's price-carnings ratio and dividend yield? LO1 SE13.11. Persistent Earnings Identify each of the following items as either (P) persistent, or (T) transit a. Sale of merchandise. b. Settlement of a lawsuit. c. Interest income d Payment to vendors. e Loss from expropriations of property by a foreign government. LO2 SE13-12. Horizontal Analysis Total assets were $1.000.000 in 2016, 5900,000 in 2015, and $950,000 in 2014. What was the percentage change from 2014 to 2015 and from 2015 to 2016? Was the change an increase or a decrease? LOS SE13-13. Common-Size Income Statement A partial common-size income statement for Prag Company for three years is shown below. Item Net sales.... Cost of goods sold.... Other expenses........... .................... 2016 ..... 1000 605 ........ 21.0 2015 1000 630 19.0 2014 100.0 825 20.5 Did Prag's net income as a percentage of net sales increase, remain the same, or decrease three-year period