Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

hi , i just need to dolve ratios part of this problem i also attach income statement and balancesheet to solve ratios i resubmitted the

hi , i just need to dolve ratios part of this problem i also attach income statement and balancesheet to solve ratios
image text in transcribed
image text in transcribed
image text in transcribed
i resubmitted the pictures of question please solve ratios part
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
TREASURER'S REPORT TO SHAREHOLDERS ! The Party REVERSE protectie so twowe the me the 540 e alte fransactie the one he The Bay PackeAudit Crew sem Nordi Baithe lett focal 7020 20 GAPL Bydd For Som det EXPENSES 05 EM21 Pranamamyatamusandsomurarun 55 LL LINA Mens 527 Tran S. 3 pe 477218 ST 52 PROHT FROM OPERATIONS ett stort frosty Pfeif Stade at Dan 50 5 with NET INCOME 10 Theme Mens 10 520 NET INCOME MAlons 580 $60 $40 $20 $0 5349 5723 2017 5366 2018 384 2010 Net income of $34.9 million includes a significant adjustment for the new GAAP rule that requires us to record unrealized investment losses from the March bear market on our income statement Gain and losses in prior years were recorded on the balance sheet PRESERVING THE PACKERS FRANCHISE In addition to our pursuit of a 14 NFL Championship, we also strive financially to preserve our community-owned franchise for future generations of Packers fans. Operating profits are invested in the team, the Lambeau Field fan experience, the community, and a fund to sustain the viability of the franchise The size and necessity for this fund grows as the NFL grows. A summary of our financial position follows The Packers have 5672 million of equity consis five stock offerings, and the rest from retained to invest equity to preserve and improve Lambea million of our equity in property and equipment contracts. The remainder is held for franchise & Investments above is 5370 million of investr strong and will help ensure our survival through Our continued investment in Lambeau Field in to station concourses and replacement of ou responded favorably to our "grab and of conc Cashless payment and returns tans to their sta to invest in Tiletown, but real estate project Titletown is both at inestment in the Green Ba by enhancing the quality of life in Brown Cou reasonable return on our investment We express our sincere appreciation to the Shareholders, season ticket holders, fans, empl and friends for your support. Your passion tranchise and is a significant factor in tot succ not a better story in professional sports. Respectfully submitted Muhud Arom Michael D. Simmer Treasurer / Executive Committee 2020 Balance Sheet Assets Cash & Investments Unamored signing bonuses, et Property & equipment net Other Total assets Liabilities & Equity Debt Compensation liabilities Other abilities Equity Total Liabilities & Equity 2019 S thousands 5422016 5444.170 136,000 152.222 383.621 370.581 101410 98.000 $1.043.087 51.065.011 SHAREHOLUTA -- 144.627 69451 130.036 699,173 $1.043.087 147.47 83.711 170431 661.462 $1.065.011 RATIOS 11. Answer the following for each of the ratios listed below in a tod: i. Compute the ratios for 2020 and for 2019. ii. Briefly comment on what the ratio is trying to measure. iii. How do the 2020 results compare to 2019 - have the results improved or have they gotten worse according to the ratio? a. Current ratio = current assets / current liabilities (assume "cash and investments is the only current asset and assume the "compensation liabilities and "other liabilities are current liabilities). ii. Selais de ville iii. b. Debt to equity ratio = Interest-bearing liabilities/ equity (assume that "debt" is the only interest-bearing liability). c. Return on assets = net income / total assets (use the end of each year amount) d. Return on equity=profit from operations / total equity (at the end of each year) (use profit from operations and not net income) Statement of Income 2020 2019 Revenue $ thousands National Local $295,971 210,914 $506,885 $274,293 203,650 $477,943 226,548 46,510 243,082 63,595 Total revenue Expenses Player costs Team Sales, marketing & fan engagement Facilities, net* General & administrative Total expenses Profit from operations 66,994 33,429 63,101 66,927 30,466 73,149 436,582 477,219 $70,303 $ 724 Net income $34,862 $ 8,368 P P *Net of lease-obligated contributions from the Green Bay/ Brown County Professional Football Stadium District toward the maintenance of Lambeau Field, of $13.2 and $12.5 million in 2020 and 2019, respectively. Millions NET INCOME $80 $60 Millions $40 $20 $0 $72.8 2017 $38.6 2018 $8.4 2019 $34.9 2020 Net income of $34.9 million includes a significant adjustment for the new GAAP rule that requires us to record unrealized investment losses from the March bear market on our income statement. Gain and losses in prior years were recorded on the balance sheet. PRESERVING THE PACKERS FRANCHISE In addition to our pursuit of a 14th NFL championship, we also strive financially to preserve our community-owned franchise for future generations of Packers fans. Operating profits are invested in the team, the Lambeau Field fan experience, the community, and a fund to sustain the viability of the franchise. The size and necessity for this fund grows as the NFL grows. A summary of our financial position follows: R Balance Sheet 2020 2019 S thousands $422,026 $444,170 Assets Cash & Investments Unamortized signing bonuses, net Property & equipment net Other 136,030 383,621 101,410 $1,043,087 152,222 370,581 98,038 $1,065,011 Total assets Liabilities & Equity Debt Compensation liabilities Other liabilities Equity Total Liabilities & Equity 144,427 69,451 130,036 699,173 $1,043,087 147,407 83,711 170,431 663,462 $1,065,011 RATIOS i. 11. Answer the following for each of the ratios listed below in a tod: Compute the ratios for 2020 and for 2019. ii. Briefly comment on what the ratio is trying to measure. iii. How do the 2020 results compare to 2019 - have the results improved or have they gotten worse according to the ratio? Current ratio = current assets / current liabilities (assume "cash and investments" is the only current asset and assume the "compensation liabilities" and "other liabilities" are current liabilities). a. b. Debt to equity ratio = Interest-bearing liabilities/equity (assume that "debt" is the only interest-bearing liability). C. d. Return on assets = net income / total assets (use the end of each year amount) Return on equity-profit from operations / total equity (at the end of each year) (use profit from operations and not net income)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions