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Data for Barry Computer Co. and its industry averages follow. Barry Computer Company: Balance Sheet as of December 31, 2016 (In Thousands) Cash $181,720 Accounts
Data for Barry Computer Co. and its industry averages follow.
Barry Computer Company: | ||||
Balance Sheet as of December 31, 2016 (In Thousands) | ||||
Cash | $181,720 | Accounts payable | $181,720 | |
Receivables | 545,160 | Other current liabilities | 214,760 | |
Inventories | 413,000 | Notes payable to bank | 82,600 | |
Total current assets | $1,139,880 | Total current liabilities | $479,080 | |
Long-term debt | $446,040 | |||
Net fixed assets | 512,120 | Common equity | 726,880 | |
Total assets | $1,652,000 | Total liabilities and equity | $1,652,000 |
Barry Computer Company: Income Statement for Year Ended December 31, 2016 (In Thousands) | |||
Sales | $2,950,000 | ||
Cost of goods sold | |||
Materials | $1,239,000 | ||
Labor | 737,500 | ||
Heat, light, and power | 177,000 | ||
Indirect labor | 295,000 | ||
Depreciation | 118,000 | 2,566,500 |
Gross profit | $ 383,500 | |
Selling expenses | 295,000 | |
General and administrative expenses | 29,500 | |
Earnings before interest and taxes (EBIT) | $ 59,000 | |
Interest expense | 35,683 | |
Earnings before taxes (EBT) | $ 23,317 | |
Federal and state income taxes (40%) | 9,327 | |
Net income | $ 13,990 |
Calculate the indicated ratios for Barry. Round your answers to two decimal places.
Ratio | Barry | Industry Average |
Current | x | 2.31x |
Quick | x | 1.47x |
Days sales outstandinga | days | 31.52 days |
Inventory turnover | x | 7.80x |
Total assets turnover | x | 2.01x |
Profit margin | % | 0.44% |
ROA | % | 0.89% |
ROE | % | 2.14% |
ROIC | % | 7.10% |
TIE | x | 1.60x |
Debt/Total capital | % | 43.61% |
aCalculation is based on a 365-day year. Construct the DuPont equation for both Barry and the industry. Round your answers to two decimal places.
FIRM | INDUSTRY | |
Profit margin | % | 0.44% |
Total assets turnover | x | 2.01x |
Equity multiplier | x | x |
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