FAIRWAY GOLF, INC. 2019 Income Statement Common Size Sales Cost of goods sold Depreciation EBIT Interest paid Taxable income Taxes Net income Dividends Retained earnings FAIRWAY GOLF, INC. 2018 2019 2018 2019 Assets $ Current assets Cash Accounts receivable Inventory Total S 5,198 7,707 12 150 S 25,055 S $ 5,727 8,477 21,956 $ 38,160 Liabilities and owners' equity Current liabilities Accounts payable Notes payable Other Total Long term debt Owners' equity Common stock and paid-in surplus Accumulated retained earings Total Total liabilities and owners' equy $ 3,954 3,045 152 $ $ 7,151 24,400 3.786 3.318 179 7.283 16,500 $ Fixed assets Net plant and equipment Total assets $ 40,000 28,805 $ 68,805 $ 100,356 $ 36,600 55,189 $ 91,789 $ 115,572 79,412 S 115,572 75,301 S S 100,356 FAIRWAY GOLF, INC Carmon Size Common Size 2019 Common Size 2018 Common Size 2019 2018 2018 2019 2018 2019 Assets $ Current ansete Cash Accounts receivable Inventory Tatal S 5,198 7.707 12, 150 S 25,055 S $ 5,727 8,477 21,956 $ 38,160 Liabilities and owners' equity Current liabilities Accounts payable Notes payable Other Total Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings Total Total liabilities and owners' equity $ 3,954 3,045 152 $ 7,151 24,400 3.786 3,318 179 7,283 16,500 $ Fixed assets Net plant and equipment Total assets $ 40,000 28,805 $ 68,805 $ 100,356 $36,600 55.189 $ 91.789 $ 115,572 75,301 S 100.356 79,412 S 115,572 2018 2018 2019 Assets $ $ $ Current assets Cash Accounts receivable Inventory Total 5,198 7,707 12,150 25,055 FAIRWAY GOLF, INC. 2019 Liabilities and owners' equity Current liabilities $ 5,727 Accounts payable 8,477 Notes payable 21,956 Other $ 36,160 Total Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings 79,412 Total $ 115,572 Total liabilities and owners' equity 3,954 3,045 152 7,151 24,400 3,786 3,318 179 7.283 16,500 $ $ $ " Fixed assets Net plant and equipment Total assets 40,000 28,805 68,805 100,356 $ 36,600 55,189 $ 91,789 $ 115,572 $ 75,301 100,356 $ $ FAIRWAY GOLF, INC. 2019 Income Statement $ $ Sales Cost of goods sold Depreciation EBIT Interest paid Taxable income Taxes Net income 233,854 181,312 8,888 43,654 1,911 41,743 6,333 35,410 $ $ Dividends Retained earnings $ 16,000 19.410 35) Short-term solvency ratios: 2018 Current ratio 2019 Current ratio 2018 Quick ratio 2019 Quick ratio Has the financial performance of Fairway Golf, Inc. improved or deteriorated from 2018 to 2019? Based your explanation on the ratios you calculated. Enter your answer this box. 2018 Cash ratio 2019 Cash ratio ANSWER: Asset utilization ratios: Total asset tumover Inventory tumover Receivables tumover no!! I DOO Long-term solvency ratios: 2018 Total debt ratio 2019 Total debt ratio 2018 Debt-equity ratio 2019 Debt-equity ratio 2018 Equity multplier 2019 Equity multiplier Times interest eamed ratio Cash coverage ratio Profitability ratios: Profit margin Retum on assets Retum on equity Retum on Equity Using the Dupont Identity Formula
