GA Tyler Toys, Inc. Income Statement for Years Ending December 31, 2013 and 2014 2014 2013 Revenue $ 14, 147, 110 $ 13,566,540 Cost of goods sold $ -8,448,356 $ -8,132,592 Selling, general, and administrative expenses $ -997,060 $ -980,733 Depreciation $ -1,497,884 $ -1,472,684 EBIT $ 3,203,810 $ 2,980,531 Interest expense $ -376,096 $ -354,244 Taxes $ -1,074,531 $ -997,989 Net income $ 1,753,183 $ 1,628,298 GA $ $ A Balance Sheet as of December 31, 2013 and 2014 ASSETS 2014 2013 LIABILITIES 2014 2013 Current assets Current liabilities Cash 190,602 $ 186,409 Accounts payable $ 1,546,840 $ 1,456,037 Investments 181,336 $ 120,882 Short-term debt S 312,475 $ 332,836 Total current Accounts receivables 668,509 $ 631,846 liabilities $ 1,859,315 $ 1,788,873 Inventory $ 587,516 $ 563,314 Long-term liabilities Total current assets $ 1,627,963 $ 1,502,451 Debt $ 7,286,590 $ 6,604,890 Long-term assets Other liabilities $ 1,463,215 $ 1,346,987 Investments $ 3,053,961 $ 2,828,732 Total liabilities $ 10,609,120 $ 9,740,750 Plant, property, and equipment $ 8,496,617 $ 8,481,333 OWNERS' EQUITY Goodwill S 348,447 $ 346,462 Common stock $ 1,458,703 $ 1,453,539 Intangible assets $ 1,158,585 $ 956,172 Retained earnings $ 2,617,750 $ 2,920,861 Total owners' equity S4,076,453 S 4,374,400 TOTAL LIABILITIES AND OWNERS TOTAL ASSETS $ 14,685,573 $ 14,115,150 EQUITY $ 14,685,573 $ 14,115,150|| 1. Financial ratios: Asset management. The financial statements for Tyler Toys, Inc. are shown in the popup window: 1. Calculate the inventory turnover, days' sales in inventory, receivables turnover, days' sales in receivables, and total asset turnover for 2013 and 2014 for Tyler Toys. Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or the shareholders? What is the inventory turnover ratio for 2014? (Round to four decimal places.) What is the inventory turnover ratio for 2013? (Round to four decimal places.) What is the days' sales in inventory ratio for 2014? days (Round to four decimal places.) What is the days' sales in inventory ratio for 2013? days (Round to four decimal places.) What is the receivables turnover ratio for 2014? (Round to four decimal places.) What is the receivables turnover ratio for 2013? (Round to four decimal places.) What is the days' sales in receivables ratio for 2014? days (Round to four decimal places.) What is the days' sales in receivables ratio for 2013? days (Round to four decimal places.) What is the total asset turnover ratio for 2014? (Round to four decimal places.) What is the total asset turnover ratio for 2013? (Round to four decimal places.) Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or the shareholders? (Select the best response.) O A. The company has a very good turnover of assets but collects its receivables slowly; thus there are some real concerns from these ratios. OB. The company has a very good turnover of assets and collects its receivables quickly, thus there are major concerns from these ratios. C. The company has a very poor turnover of assets and collects its receivables quickly, thus there are some concerns from these ratios. OD. The company has a very good turnover of assets and collects its receivables quickly; thus there are no real concerns from these ratios
