consider the following scenario your boss has come
what is the cash flow per share & price to cash flow rario for 2015 & 2016? (photo #3)
Copy AutoSave OH H 5 File Home Insert "Draw Page Layout Formulas Data Review View H X Cut Arial 11 AA == 2 Wrap To BIU A Mergea Format Painter Clipboard ont Alignment E147 - X for BcDE F Paste Font 2 Joshua & White Technologies: December 31 Balance Sheets 3 (Thousands of Dollars) 5 Assets 6 Cash and cash equivalents 7 Short-term investments 8 Accounts Receivable 9 Inventories 10 Total current assets 11 Net fixed assets 12 Total assets 2016 $21,000 3,759 52,500 84,000 $161.259 218,400 $379,659 2015 $20,000 3,240 48,000 56,000 $127.240 200,000 $327.240 14 Liabilities and equity 15 Accounts payable 16 Accruals 17 Notes payable 18 Total current liabilities 19 Long-term debt 20 Total liabilities 21 Common stock 22 Retained Earnings 23 Total common equity 24 Total liabilities and equity $33,600 12,600 19.929 $66,129 67,662 $133,791 183,793 62,075 $245,868 $379,659 $32,000 12,000 6,480 $50,480 58,320 $108,800 178,440 40,000 $218,440 $327.240 26 Joshua & White Technologies December 31 Income Statements 27 (Thousands of Dollars) 28 2016 2015 29 Sales $420,000 $400,000 30 COGS except excluding depr. and amo 300.000 298,000 Assignment 2 + 2 wa = = Merc Alignment 9 of cut Arial 11 AA - = = Io Copy Paste BIU - - Format Painter Clipboard Font E147 - X for A B C D E 24 Total liabilities and equity $379,659 $327.240 F 26 Joshua & White Technologies December 31 Income Statements 27 (Thousands of Dollars) 2016 2015 29 Sales $420,000 $400,000 30 COGS except excluding depr. and amo 300,000 31 Depreciation and Amortization 19,660 18,000 32 Other operating expenses 27,600 22.000 33 EBIT $72,740 $62,000 34 Interest Expense 5.740 4,460 35 $67,000 $57,540 36 Taxes (40%) 26,800 23,016 37 Net Income $40.200 $34.524 $18,125 $22.075 $17.262 $17.262 39 Common dividends 40 Addition to retained earnings 41 42 Other Data 43 Year-end Stock Price 44 # of shares (Thousands) 45 Lease payment (Thousands of Dollars) 46 Sinking fund payment (Thousands of D 2016 $90.00 4,052 $20,000 $5,000 2015 $96.00 4,000 $20,000 $5,000 2016 2015 Industry Avg 48 Ratio Analysis 49 Liquidity Ratios 50 Current Ratio 51 Quick Ratio 52 Asset Management Ratios 53 Inventory Turnover (Total COGS/Inve Assignment 2 ment 2 2.44 1.17 2.52 1.41 2.58 1.53 3.57 5.32 7.69 Type here to search JINALS 9.57% 19.16% 10.59% 16.35% 8.36% 18.95% 10.50% 15.80% 8.86% 19.48% 10.93% 16.10% Profit Margin Basic Earning Power Return on Assets Return on Equity Market Value Ratios Earnings per share Price-to-earnings ratio Cash flow per share Price-to-cash flow ratio Book Value per share Market-to-book ratio $9.92 9.07 $8.63 11.12 NA 10.65 NA 7.11 NA 1.72 $61.16 1.47 $54.61 1.76 a. Has Joshua & White's liquidity position improved or worsened? Explain. Due to the significant increase in Notes Payable, both the current and quick ratios have worsened within the year 2016. b. Has Joshua & White's ability to manage its assets improved or worsened? E Various elements have changed within this calendar year. For example, inventory turno low, yet receivables are above the industry average. The company's investment in fixed is higher, and sales generated by fixed and total assets have decreased
