Compute financial ratios.

Financial ratios 2014 2015

Current ratio

Acid-test ratio

Days in receivables

Days in inventory

Operating return on assets

Operating profit margin

Total asset turnover

Fixed asset turnover

Debt ratio

Times interest earned

Return on equity

Return on Assets

$300 $495 700 915 600 780 125 160 $1,725 $2,350 $4,650 $4,950 (1,700) (2,200) $2,950 $2,750 $4,675 $5,100 Complete a financial analysis. calculate the financial ratios for the years of 2014 and 2015 BALANCE SHEET Corporation Income Statement (in thousands) Assets Cash Sales 5700 5400 Accounts receivable Cost of goods sold (3700) (3600) Inventories Gross profits 2000 1800 Other current assets Operating expenses Total current assets Selling and G&A expenses (820) (780) Gross fixed assets Depreciation expense (340) (500) Accumulated depreciation Total operating expenses (1160) (1280) Net fixed assets Operating profits 840 520 Total assets Interest expense (200) (275) Liabilities (Debt) and Equity Earnings before taxes (taxable income) 640 245 Accounts payable Income taxes (230) (65) Short-term notes payable Net income 410 180 Total current liabilities Additional information: Long-term debt Number of common shares outstanding 150 150 Total liabilities Dividends paid to stockholders 120 120 Common equity Market price per share 36 Common stock Retained earnings Total common equity Total liabilities and equity $400 250 $650 1,250 $1,900 $640 300 $940 1,325 $2,265 18 $1,100 $1,100 1,675 1,735 $2,775 $2,835 $4,675 $5,100