CRONCO REGIONALis a leading construction company founded in 2001 & is based in Babardos. The business entity has within recent years have been encountering increases in revenues from its construction-related services (design, build, expansion&remodeling, & emergency-services. the mainline of business is from the construction of roads & commercial buildings within Babardos and to a limited extent a few other regional operating-markets. Due to the growth of regional tourism, CRONCO REGIONAL has become worried about the competition of other multiple construction companies which have entered the region to provide similar type services around the Caribbean in various markets. Business overseas contributes to 40 percent of the companys revenues, while the other 60 percent is earned domestically.

The novel virus pandemic has caused a slow down in overall operations leading to prolonged delays in delivery of raw materials from abroad. The CEO (CRONCO REGIONAL) is confident that there will be a turnaround in operations in 2021, and is therefore thinking about contracting a loan of $500.0 Million from its designated bank to help rebuild its lead position in the market and to expand its line of business to include the sales of heavy-equipment. Over the years the company has depend mainly on issuing long-term bonds to finance its capital-projects. As of today, the firm has 50.0 million shares of common stock outstanding. With the requirements below determining whether they would be successful with the new loan.

Requirements: 1. Complete CRONCO REGIONAL estimated per share data for the year ending December 31 2021. 2. Calculate 2019, 2020 and 2021 estimated ratios

Ratio Analysis	2021 Est.	2020	2019	Industry Average
Liquidity Ratios
Current Ratio (times)				4.2
Quick Ratio (times)				2.1
Asset Management Ratios
Average Sales/Day				9
Inventory Turnover Ratio (times)				9
Days Sales Outstanding (days)				36
Fixed Assets Turn Over Ratio (times)				3
Total Assets Turn Over Ratio				1.8
Debt Management Ratios
Total Debt to Total Assets(%)				40
Times Interest Earned (times)				6
Debt to Equity Ratio (%)				1
Profitability Ratios
Profit Margin on Sales (%)				8
Earning Power (%)				17.2
Return on Total Assets (%)				12
Return on Common Equity(%)				25
Market Value Ratios(Earning Ratio)
Price/Earnings Ratio (times)				12.5
Price/Cash Flow Ratio (times)				6.8
Market/Book Value Ratio (times)				1.7

3. Comments on Financial Performance& Financial Position
4. 1. Liquidity
5. 2. Profitability
6. 3. Leverage
7. 4. Asset Management
8. 5. Market Value 4.Chance of Success of Application of the Loan

CRONCO REGIONAL Balance Sheet (Millions of Dollars) 2021 Est 2020 2019 Liabilities 2021 Est 2020 2019 15 10 15 Accounts payable 115 60 30 Assets Cash and Cash Equivalents Short-Term investments Accounts Receivable Inventories 10 0 65 Overdrafts 115 110 60 420 700 375 615 315 415 260 490 140 310 130 220 Total Current Assets 1,145 1,000 810 Accruals Total Current Liabilities Long-Term Bonds and New Loan Total Debt 1300 754 580 Net Plant and Equipment 1884 1,190 870 1790 1,064.00 800 40 40 40 130 130 130 1069 Preferred Stock Common Stock Retained Earnings Total Common Equity Total Liabilities and Equity 1199 956 1086 $ 2,190 710 840 $ 1,680 Total Assets $ 3,029 $ $ 2,190 1,680 $ 3,029 Est. Estimate CRONCO REGIONAL Income Statement (Millions of dollars) 2021 Est. 2020 2019 Net Sales 4,000 3,000 2,850 Operating Costs 3,100 2,300 2,100 EBITD 900.00 700 750 Depreciation 110 100 90 Amortizaton 0 0 0 Depreciation and Amortization 110 100 90 EBITD 790 600 660 Interest 100 88 60 Earnings Before Taxes 690 512 600 Taxes (40%) 276 204.8 240 Net Income Before preferred Dividends 414 307.2 360 Preferred Dividends 4 4 4 Net Income $ 410.0 $ 303.2 $ Common Dividends 57.5 57.5 53 Addition to retained Earnings $ 352.50 $ 245.70 $ 356.0 303.0 Per Share Date Common Stock Price 2021 $ 2020 28.0 $ 2019 $ 23.00 26.00 6.06 7.12 1.06 1.15 Earnings Per Share (EPS) Dividend Per Share (DPS) Book Value Per Share (BVPS) Cash Flow Per Share ??? ???? ???? ???? $ $ $ $ $ $ $ $ 16.80 21.72 8.06 8.92 CRONCO REGIONAL Balance Sheet (Millions of Dollars) 2021 Est 2020 2019 Liabilities 2021 Est 2020 2019 15 10 15 Accounts payable 115 60 30 Assets Cash and Cash Equivalents Short-Term investments Accounts Receivable Inventories 10 0 65 Overdrafts 115 110 60 420 700 375 615 315 415 260 490 140 310 130 220 Total Current Assets 1,145 1,000 810 Accruals Total Current Liabilities Long-Term Bonds and New Loan Total Debt 1300 754 580 Net Plant and Equipment 1884 1,190 870 1790 1,064.00 800 40 40 40 130 130 130 1069 Preferred Stock Common Stock Retained Earnings Total Common Equity Total Liabilities and Equity 1199 956 1086 $ 2,190 710 840 $ 1,680 Total Assets $ 3,029 $ $ 2,190 1,680 $ 3,029 Est. Estimate CRONCO REGIONAL Income Statement (Millions of dollars) 2021 Est. 2020 2019 Net Sales 4,000 3,000 2,850 Operating Costs 3,100 2,300 2,100 EBITD 900.00 700 750 Depreciation 110 100 90 Amortizaton 0 0 0 Depreciation and Amortization 110 100 90 EBITD 790 600 660 Interest 100 88 60 Earnings Before Taxes 690 512 600 Taxes (40%) 276 204.8 240 Net Income Before preferred Dividends 414 307.2 360 Preferred Dividends 4 4 4 Net Income $ 410.0 $ 303.2 $ Common Dividends 57.5 57.5 53 Addition to retained Earnings $ 352.50 $ 245.70 $ 356.0 303.0 Per Share Date Common Stock Price 2021 $ 2020 28.0 $ 2019 $ 23.00 26.00 6.06 7.12 1.06 1.15 Earnings Per Share (EPS) Dividend Per Share (DPS) Book Value Per Share (BVPS) Cash Flow Per Share ??? ???? ???? ???? $ $ $ $ $ $ $ $ 16.80 21.72 8.06 8.92