Formulating Financial Statements from Raw Data and Calculating Ratios

Following is selected financial information from JM Smucker Co. for the year ended April 30, 2018 ($ millions).

Current assets, end of year	$1,679.4	Long-term liabilities, end of year	$6,886.4
Cash, end of year	208.0	Stockholders' equity, end of year	8,522.4
Cash from investing activities	(299.8)	Cash from operating activities	1,315.4
Cost of products sold	4,882.7	Total assets, beginning of year	16,890.9
Total liabilities, end of year	8,002.9	Revenue	7,945.7
Cash from financing activities*	(987.8)	Total expenses, other than cost of	1,617.3
Stockholders' equity, beginning of year	7,398.2	product sold
		Dividends paid	378.3

* Cash from financing activities includes the effects of foreign exchange rate fluctuations.

a. Prepare the income statement for the year ended April 30, 2018.

Note: Do not use negative signs with any of your answers.

J M Smucker Co
Income Statement ($ millions)
For the year ended April 30, 2018
Revenues
Cost of product sold
Gross profit
Expenses
Net income

b. Prepare the balance sheet as of April 30, 2018.

J M Smucker Co
Balance Sheet ($ millions)
April 30, 2018
Current assets		Current liabilities
Long-term assets		Long-term liabilities
		Total liabilities
	-	Stockholders' equity
Total assets		Total liabilities and equity

c. Prepare the statement of cash flows for the year ended April 30, 2018. Note: Use a negative sign with your answer to indicate cash was used by activities and/or a decrease in cash.

J M Smucker Co
Statement of Cash Flow ($ millions)
For the year ended April 30, 2018
Cash from operating activities
Cash from investing activities
Cash from financing activities
Net increase (decrease) in cash
Cash, beginning of year
Cash, end of year

d. Compute ROA. e. Compute profit margin (PM). f. Compute asset turnover (AT). g. Compute ROE.

Notes: Round ROA, PM, and ROE to one decimal place (ex: 10.5%). Round AT (asset turnover) to two decimal places (0.33).

ROA
PM
AT
ROE

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