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Consider the following abbreviated financial statements for Benly, Inc.: Benly, Inc. Balance Sheets as of December 31, 2020 and 2021 (S in thousands) 2020 2021

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Consider the following abbreviated financial statements for Benly, Inc.: Benly, Inc. Balance Sheets as of December 31, 2020 and 2021 (S in thousands) 2020 2021 2020 Current liabilities $2,200 Current assets Net fixed assets $4,750 $5,800 3,350 5,000 3,400 Long-term debt Common stock 1,850 Retained earnings 650 Total assets $8,100 $10,800 $8,100 HCB, Inc. 2021 Income Statement ($ in thousands) Sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income Dividends = $1,050 E12 6. (3 marks) What is the 2021 cash flow to stockholders (CF/SH)? 7. (1 mark) Verify that the cash flow identity holds (LHS-RHS) 8. (3 marks) What is the 2021 Net profit margin? 9. (3 marks) What is the 2021 Asset turnover? 10. (3 marks) What is the 2021 Equity multiplier? 11. (2 marks) Use the Du Pont identity to calculate the 2021 return on equity. Total liabilities and shareholders' equity $18,000 13,700 800 $3,500 750 $2,750 950 $1,800 2021 $2,750 4,550 2,100 1,400 $10,800 Consider the following abbreviated financial statements for Benly, Inc.: Benly, Inc. Balance Sheets as of December 31, 2020 and 2021 (S in thousands) 2020 2021 2020 Current liabilities $2,200 Current assets Net fixed assets $4,750 $5,800 3,350 5,000 3,400 Long-term debt Common stock 1,850 Retained earnings 650 Total assets $8,100 $10,800 $8,100 HCB, Inc. 2021 Income Statement ($ in thousands) Sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income Dividends = $1,050 E12 6. (3 marks) What is the 2021 cash flow to stockholders (CF/SH)? 7. (1 mark) Verify that the cash flow identity holds (LHS-RHS) 8. (3 marks) What is the 2021 Net profit margin? 9. (3 marks) What is the 2021 Asset turnover? 10. (3 marks) What is the 2021 Equity multiplier? 11. (2 marks) Use the Du Pont identity to calculate the 2021 return on equity. Total liabilities and shareholders' equity $18,000 13,700 800 $3,500 750 $2,750 950 $1,800 2021 $2,750 4,550 2,100 1,400 $10,800

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