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CHAPTER 14 Financial Statement Analysis: The Big Picture elected ratios, P14-5A Selected financial data for Black & Decker and Snap-On Tools for 2003 are are

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CHAPTER 14 Financial Statement Analysis: The Big Picture elected ratios, P14-5A Selected financial data for Black & Decker and Snap-On Tools for 2003 are are liquidirg presented here (in millions). Black & Decker Snap-On Tools ny and solvency miparties. Income Statement Data for Year Net sales $4,482.7 $2,233.2 Cost of goods sold 2,887.1 1,268 5 Selling and administrative expenses 1,126.0 814.6 Interest expense 35.2 24.4 Other income (expense) (34.2) (9.0) Income tax expense 107.2 38.0 Net income (before irregular items) $ 293.0 78.7 Balance Sheet Data (End of Year) Current assets $2.203.0 $1,131.7 Property, plant, and equipment (net) 660.2 328.6 Other assets 1.359.3 678.2 Total assets $4.222.5 $2.138.5 Current liabilities $1,312.1 $ 567.2 Long-term debt 2,063.9 560.4 Total stockholders' equity 846.5 1,010.9 Total liabilities and stockholders' equity $4.222.5 $2,138.5 Beginning-of-Year Balances Total assets Total stockholders' equity $4,130.5 $1,994.1 599.6 Current liabilities 830.4 Total liabilities 1,453.4 552.4 3,530.9 1,163.7 Average receivables (net) Other Data Average inventory $ 762.1 $ 551.5 Net cash provided by operating activities 717.8 360.5 570.6 177.0 Instructions (Round all computations to 2 decimal places.) (a) For each company, compute the following ratios. (1) Current ratio. (2) Receivables turnover. (3) Average collection period. (4) Inventory turnover. (5) Days in inventory. net Income (6) Profit margin. (7) Asset turnover. Nomore toted Asios 4-18) Return on assets. (9) Return on common stockholders' equity. (10) Debt to total assets. (11) Times interest earned. (12) Current cash debt coverage. (13) Cash debt coverage. Cash provided by open ship actintic (b) Compare the liquidity, solvency, and profitability " cash provided by operating activities The two companies. roblems: Set B Augin Total tahitities

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