Question
Given the following financial information: Income Statement (2019) Balance Sheet (2019) (Income statement and balance sheet numbers are in millions) Revenue $3,047 Cash 29 A/P
Given the following financial information:
Income Statement (2019) Balance Sheet (2019) (Income statement and balance sheet numbers are in millions)
Revenue $3,047 Cash 29 A/P 475
CGS Expense 2,692 A/R 443 N/P 168
SG&A Expense 176 Inventory 454 Total C/L 643
Depr. Expense 84 Tot. Curr Asset 926 L-T Debt 210
EBIT 95 Net PP&E 55 Total Liab. 853
Interest Expense 12 Goodwill 214 Common Stock 386 Taxes 22 Intang. Assets 121 Treasury Stock -325
Net Income 61 Other L-T Assets 72 Ret. Earnings 474
Total Assets 1,388 Total Stock Eq 535
Tot. Liab &OE 1,388
12A.What type of firm does the above financial information most likely represent?
- Manufacturer
- Insurer
- Distributor
- Hospital
- Generic Pharmaceutical
12B. Describe the evaluation you performed to determine your answer in #14A.
12C. Evaluate the firms Liquidity (use 2 ratios).
12D. Evaluate the firms leverage (use 2 ratios).
12E. If you were to focus on improving profitability, your top priority should be to reduce:
- Accounts Receivable
- Inventory
- Goodwill
- Cost of Goods Sold (CGS) Expense
- SG&A Expense
Need this ASAP
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