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Financial Statement Analysis The financial statements for Nike, Inc., are presented in Appendix C. Use the following additional information (in millions): Accounts receivable at May

Financial Statement Analysis

The financial statements for Nike, Inc., are presented in Appendix C. Use the following additional information (in millions):

Accounts receivable at May 31, 2016 $3,241
Inventories at May 31, 2016 4,838
Total assets at May 31, 2016 21,379
Stockholders' equity at May 31, 2016 12,258

1. Determine the following measures for the fiscal years ended May 31, 2018, and May 31, 2017. Assume 365 days a year. Do not round interim calculations. Round the working capital amount in part (a) to the nearest dollar. Round all other final answers to one decimal place. When required, use the rounded final answers in subsequent computations.

May 31, 2018 May 31, 2017
a. Working capital (in millions) $ fill in the blank 1 $ fill in the blank 2
b. Current ratio fill in the blank 3 fill in the blank 4
c. Quick ratio fill in the blank 5 fill in the blank 6
d. Accounts receivable turnover fill in the blank 7 fill in the blank 8
e. Number of days' sales in receivables fill in the blank 9 days fill in the blank 10 days
f. Inventory turnover fill in the blank 11 fill in the blank 12
g. Number of days' sales in inventory fill in the blank 13 days fill in the blank 14 days
h. Ratio of liabilities to stockholders' equity fill in the blank 15 fill in the blank 16
i. Asset turnover fill in the blank 17 fill in the blank 18
j. Return on total assets fill in the blank 19% fill in the blank 20%
k. Return on stockholders' equity fill in the blank 21% fill in the blank 22%
l. Price-earnings ratio, assuming that the market price was $72.12 per share on May 29, 2018, and $53.06 per share on May 30, 2017. fill in the blank 23 fill in the blank 24

2. The working capital

decreasedincreasedremained constant

between 2017 and 2018. The current and quick ratios both

decreasedincreasedremained constant

during 2018. The accounts receivable turnover

decreasedincreasedremained constant

and number of days sales in receivables

decreasedincreasedremained constant

slightly. The margin of protection to creditors

decreasedincreasedremained constant

. The return on total assets

decreasedincreasedremained constant

during 2018. The return on stockholders equity

decreasedincreasedremained constant

.

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