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Facebook Inc. reports the following financials as of December 31, 2022: Balance Sheet: Cash: $40 billion Marketable Securities: $30 billion Accounts Receivable: $15 billion Total

 Facebook Inc. reports the following financials as of December 31, 2022:

  • Balance Sheet:
    • Cash: $40 billion
    • Marketable Securities: $30 billion
    • Accounts Receivable: $15 billion
    • Total Current Assets: $85 billion
    • Total Assets: $200 billion
    • Accounts Payable: $10 billion
    • Short-term Debt: $5 billion
    • Long-term Debt: $25 billion
    • Shareholders’ Equity: $160 billion
  • Income Statement:
    • Revenue: $250 billion
    • Cost of Goods Sold: $120 billion
    • Operating Expenses: $80 billion
    • Interest Expense: $1 billion
    • Tax Rate: 23%

Requirements:

  1. Calculate the current ratio.
  2. Determine the net profit margin.
  3. Compute the return on assets (ROA).
  4. Evaluate the debt-to-equity ratio.

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