COMPANY 1 INCOME STATEMENT AND BALANCE SHEET
COMPANY 2 INCOME STATEMENT AND BALANCE SHEET
Select the Income Statements and Balance Sheets of two corporations from the internet and calculate the following financial ratios:
a. Long-term debt ratios
b. Total debt ratio
c. Times interest earned
d. Cash coverage ration
e. current ratio
f. Quick ratio
g. Operating profit margin
h. Inventory Turnover
i. Days in inventory
j. Average collection period
k. Return on equity
l. Return on assets
m. Payout rations
Compare the financial ratios you have calculated above and write a report on the basis of that comparison.
COMPANY 1
COMPANY 2
Select the Income Statements and Balance Sheets of two corporations from the internet and calculate the following financial ratios: a. Long-term debt ratios b. Total debt ratio c. Times interest earned d. Cash coverage ration e. current ratio f. Quick ratio g. Operating profit margin h. Inventory Turnover i. Days in inventory j. Average collection period k. Return on equity 1. Return on assets m. Payout rations Compare the financial ratios you have calculated above and write a report on the basis of that comparison. $1,398,700 CONCORD INC. INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2017 Sales revenue Cost of goods sold Inventory, Jan. 1, 2017 $202,000 Purchases 783,700 Cost of goods available for sale 985,700 Inventory, Dec. 31, 2017 (171,500) Cost of goods sold Gross profit on sales Operating expenses Net income 814,200 584,500 168,800 $415,700 Cash Receivables Less: Allowance $110,000 15,200 CONCORD INC. BALANCE SHEET DECEMBER 31, 2017 $45,400 Notes payable (short-term) Accounts payable 94,800 Accrued liabilities 171,500 Common stock (par $5) 7,900 Retained earnings 20,200 151,200 $491,000 $49,700 32,100 5,000 262,400 141,800 Inventory Prepaid insurance Land Equipment (net) $491,000 Oriole Company Income Statement For the Year Ended December 31, 2017 Net sales Cost of goods sold Selling and administrative expenses Interest expense Income tax expense Net income $2,238,200 1,031,000 919,400 95,500 70,950 $ 121,350 $ 79,800 85,950 183,000 161,600 510,350 593,900 $ 1,104,250 Oriole Company Balance Sheet December 31, 2017 Assets Current assets Cash Debt investments Accounts receivable (net) Inventory Total current assets Plant assets (net) Total assets Liabilities and Stockholders' Equity Current liabilities Accounts payable Income taxes payable Total current liabilities Bonds payable Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 179,700 37,450 217,150 213,200 430,350 368,600 305,300 673,900 $1,104,250 End of Fiscal 2012 2011 Liabilities and Shareholders' Equity End of Fiscal 2012 2011 30 2,494 1,987 1,395 1,252 10,710 10,360 866 15,372 14,465 773 Assets Current assets Cash and marketable securities Receivables Inventories Other current assets Total current assets Fixed assets Tangible fixed assets Property, plant, and equipment Less accumulated depreciation Net tangible fixed assets Intangible asset (goodwill) Long-term investments Other assets Current liabilities Debt due for repayment Accounts payable Other current liabilities Total current liabilities Long-term debt Deferred income taxes Other long-term liabilities 1,321 8,871 1,270 11,462 9,475 319 2,051 8,173 1,183 9,386 10,798 212 2,161 38,491 14,422 24,069 1,170 140 37,059 12,738 24,321 1,267 138 23,307 22,557 8,433 7,649 333 551 Total liabilities Shareholders' equity Common stock and other paid-in capital Retained earnings Treasury stock Total shareholders' equity Total liabilities and shareholders' equity Total assets 41,084 40,742 20,038 - 10,694 17,777 41,084 17.246 -6,710 18,185 40,742 Net sales Cost of goods sold Selling, general, & administrative expenses Depreciation Earnings before interest and income taxes (EBIT) Interest expense Taxable income Taxes Net income Allocation of net income Dividends Addition to retained earnings $ Millions 74,754 48,912 16,305 1,684 7,853 632 7,221 2,686 4,535 1,743 2,792 INCOME STATEMENT (Figures in $ millions) Net sales Cost of goods sold Other expenses Depreciation Earnings before interest and taxes (EBIT) Interest expense Income before tax Taxes (at 35%) Net income Dividends 13,193 4,060 4,049 2,518 2,566 685 1,881 658 1,223 856 Start of Year 89 BALANCE SHEET (Figures in $ millions) End of Year Assets Cash and marketable securities $ Receivables 2,382 Inventories 187 Other current assets 867 Total current assets $ 3,525 Net property, plant, and equipment 19,973 Other long-term assets 4,216 Total assets $27,714 Liabilities and shareholders' equity Payables $ 2,564 Short-term debt 1,419 Other current liabilities 811 Total current liabilities $ 4,794 Long-term debt and leases 7,018 Other long-term liabilities 6,178 Shareholders' equity 9,724 Total liabilities and shareholders' equity $27,714 $ 158 2,490 238 932 $ 3,818 19,915 3,770 $27,503 $ 3,040 1,573 787 $ 5,400 6,833 6,149 9,121 $27,503 Select the Income Statements and Balance Sheets of two corporations from the internet and calculate the following financial ratios: a. Long-term debt ratios b. Total debt ratio c. Times interest earned d. Cash coverage ration e. current ratio f. Quick ratio g. Operating profit margin h. Inventory Turnover i. Days in inventory j. Average collection period k. Return on equity 1. Return on assets m. Payout rations Compare the financial ratios you have calculated above and write a report on the basis of that comparison. $1,398,700 CONCORD INC. INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2017 Sales revenue Cost of goods sold Inventory, Jan. 1, 2017 $202,000 Purchases 783,700 Cost of goods available for sale 985,700 Inventory, Dec. 31, 2017 (171,500) Cost of goods sold Gross profit on sales Operating expenses Net income 814,200 584,500 168,800 $415,700 Cash Receivables Less: Allowance $110,000 15,200 CONCORD INC. BALANCE SHEET DECEMBER 31, 2017 $45,400 Notes payable (short-term) Accounts payable 94,800 Accrued liabilities 171,500 Common stock (par $5) 7,900 Retained earnings 20,200 151,200 $491,000 $49,700 32,100 5,000 262,400 141,800 Inventory Prepaid insurance Land Equipment (net) $491,000 Oriole Company Income Statement For the Year Ended December 31, 2017 Net sales Cost of goods sold Selling and administrative expenses Interest expense Income tax expense Net income $2,238,200 1,031,000 919,400 95,500 70,950 $ 121,350 $ 79,800 85,950 183,000 161,600 510,350 593,900 $ 1,104,250 Oriole Company Balance Sheet December 31, 2017 Assets Current assets Cash Debt investments Accounts receivable (net) Inventory Total current assets Plant assets (net) Total assets Liabilities and Stockholders' Equity Current liabilities Accounts payable Income taxes payable Total current liabilities Bonds payable Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 179,700 37,450 217,150 213,200 430,350 368,600 305,300 673,900 $1,104,250 End of Fiscal 2012 2011 Liabilities and Shareholders' Equity End of Fiscal 2012 2011 30 2,494 1,987 1,395 1,252 10,710 10,360 866 15,372 14,465 773 Assets Current assets Cash and marketable securities Receivables Inventories Other current assets Total current assets Fixed assets Tangible fixed assets Property, plant, and equipment Less accumulated depreciation Net tangible fixed assets Intangible asset (goodwill) Long-term investments Other assets Current liabilities Debt due for repayment Accounts payable Other current liabilities Total current liabilities Long-term debt Deferred income taxes Other long-term liabilities 1,321 8,871 1,270 11,462 9,475 319 2,051 8,173 1,183 9,386 10,798 212 2,161 38,491 14,422 24,069 1,170 140 37,059 12,738 24,321 1,267 138 23,307 22,557 8,433 7,649 333 551 Total liabilities Shareholders' equity Common stock and other paid-in capital Retained earnings Treasury stock Total shareholders' equity Total liabilities and shareholders' equity Total assets 41,084 40,742 20,038 - 10,694 17,777 41,084 17.246 -6,710 18,185 40,742 Net sales Cost of goods sold Selling, general, & administrative expenses Depreciation Earnings before interest and income taxes (EBIT) Interest expense Taxable income Taxes Net income Allocation of net income Dividends Addition to retained earnings $ Millions 74,754 48,912 16,305 1,684 7,853 632 7,221 2,686 4,535 1,743 2,792 INCOME STATEMENT (Figures in $ millions) Net sales Cost of goods sold Other expenses Depreciation Earnings before interest and taxes (EBIT) Interest expense Income before tax Taxes (at 35%) Net income Dividends 13,193 4,060 4,049 2,518 2,566 685 1,881 658 1,223 856 Start of Year 89 BALANCE SHEET (Figures in $ millions) End of Year Assets Cash and marketable securities $ Receivables 2,382 Inventories 187 Other current assets 867 Total current assets $ 3,525 Net property, plant, and equipment 19,973 Other long-term assets 4,216 Total assets $27,714 Liabilities and shareholders' equity Payables $ 2,564 Short-term debt 1,419 Other current liabilities 811 Total current liabilities $ 4,794 Long-term debt and leases 7,018 Other long-term liabilities 6,178 Shareholders' equity 9,724 Total liabilities and shareholders' equity $27,714 $ 158 2,490 238 932 $ 3,818 19,915 3,770 $27,503 $ 3,040 1,573 787 $ 5,400 6,833 6,149 9,121 $27,503
