Home Insert Draw TUTO Page Layour Arial A 11 11 lule Paste B TV MA 143 057 fx 45.63 D G 140 142 t. Perform a percent change analysis. What does this tell you about the change in profitability and asset utilization? 144 145 Percent Change Balance Sheets Base 146 Assets 2019 2018 47 Cash and cash equivalents 48 Short-term investments 149 Accounts Receivable 150 Inventories 151 Total current assets 52 Net foxed assets 53 Total assets 54 55 Base 56 Liabilities and equity 2019 2018 57 Accounts payable 58 Accruals 150 Notes payable 50 Total current liabilities 61 Long-term debt 52 Total abilities 53 Common stock 34 Retained Earnings 55 Total common equity 36 Total abilities and equity 2019 Base 2018 58 39 Percent Change Income Statements TO Sales "I COGS except excluding depr. and amort. 2 Depreciation and Amortization "3 other operating expenses 4 EBIT "5 Interest Expense "6 EBT 7 Taxes (25%) 8 Net Income 9 0 B D E F G H 8 Assets 2019 2018 9 Cash and cash equivalents $21,000 $20,000 10 Short-term investments 3,759 3,240 11 Accounts Receivable 52,500 48,000 12 Inventories 84,000 56.000 13 Total current assets $161.259 $127,240 14 Net foxed assets 223,097 200.000 15 Total assets $384.356 $327 240 16 17 Liabilities and equity 18 Accounts payable $33,600 $32,000 19 Accruals 12,600 12,000 20 Notes payable 19.929 6,480 21 Total current liabilities $66,129 $50,480 22 Long-term debt 67,662 58,320 23 Total liabilities $133,791 $108,800 24 Common stock 178,440 178,440 25 Retained Earnings 72,125 40.000 26 Total common equity $250,565 $218.440 27 Total liabilities and equity $384.256 $327.240 28 29 Joshua & White Technologies December 31 Income Statements 30 (Thousands of Dollars) 31 2019 2018 32 Sales $420,000 $400,000 33 COGS except excluding depr. and amort. 300,000 298,000 34 Depreciation and Amortization 19,660 18,000 35 Other operating expenses 27,600 22.000 36 $72,740 $62,000 37 Interest Expense 5.740 4.460 38 EBT $67,000 $57,540 39 Taxes (25%) 16.750 14,385 40 Net Income $50.250 $34.524 41 42 Common dividends $18,125 $17,262 43 Addition to retained earnings $32,125 $17,262 44 45 Other Data 2019 2018 46 Year-end Stock Price $90.00 $96.00 47 of shares. (Thousands EBIT A AED Arial Paste a. Av BI - B Xvfx 45.63 F 57 E D C A B $161,259 $127,240 Total current assets Net fixed assets 223,097 200.000 $384356 $327 240 5 Total assets B 7 Liabilities and equity 8 Accounts payable $33,600 $32,000 19 Accruals 12,600 12,000 20 Notes payable 19.929 6.480 21 Total current liabilities $66,129 $50,480 22 Long-term debt 67,662 58.320 23 Total liabilities $133,791 $108,800 24 Common stock 178,440 178,440 25 Retained Earnings 72.125 40,000 26 Total common equity $250,565 $218.440 27 Total liabilities and equity $384356 $327 240 28 29 Joshua & White Technologies December 31 Income Statements 30 (Thousands of Dollars) 31 2019 2018 32 Sales $420,000 $400,000 33 COGS except excluding depr. and amort. 300,000 298,000 34 Depreciation and Amortization 19,660 18,000 35 Other operating expenses 27,600 22.000 36 EBIT $72,740 $62,000 37 Interest Expense 5.740 4,460 36 EBT $67,000 $57,540 39 Taxes (25%) 16.750 14,385 40 Net Income $50.250 $34.524 41 42 Common dividends $18,125 $17,262 43 Addition to retained earnings $32,125 $17,262 45 Other Data 46 Year-end Stock Price 47 # of shares (Thousands) 48 Lease payment (Thousands of Dollars) 49 Sinking fund payment (Thousands of Dollai 50 51 Ratio Analysis 52 Liomidity.Ratios 2019 $90.00 4,052 $20,000 $5,000 2018 $96.00 4,000 $20,000 $5,000 2019 2018 Industry Avg Build a Model + Ready Arial Av Paste BIU X Vfx 45.63 D57 F D E A B 2019 2018 45 Other Data $90.00 $96.00 46 Year-end Stock Price 4,052 4,000 47 # of shares (Thousands) $20,000 $20,000 48 Lease payment (Thousands of Dollars) $5,000 $5,000 49 Sinking fund payment (Thousands of Dollar 50 2019 2018 Industry Avg 51 Ratio Analysis 52 Liquidity Ratios 2.52 2.44 2.58 53 Current Ratio 1.41 54 1.17 1.53 Quick Ratio 55 Asset Management Ratios 56 0.71 7.69 Inventory Turnover (Total COGS/Invent 0.75 57 Days Sales Outstanding 45.63 43.80 47.45 5B Fixed Assets Turnover 1.88 2.00 2.04 59 Total Assets Turnover 1.09 1.22 1.23 60 Debt Management Ratios 61 Debt Ratio (Total debt-to-assets) 100.0% 100.0% 20.0% 62 Liabilities-to-assets ratio 34.8% 33.3% 32.1% 63 Times-interest-earned ratio 12.67 13.90 15.33 64 EBITDA coverage ratio 16.10 16.00 4.18 65 Profitability Ratios 66 Profit Margin 11.96% 67 Basic Earning Power 8.63% 8.86% 18.93% 68 Return on Assets 18.95% 19.48% 69 Return on Equity 13.07% 10.55% 10.93% 70 Market Value Ratios 20.05% 15.80% 16.10% 71 Earnings per share 72 $12.40 $8.63 NA 73 7.26 11.12 10.65 74 $17.25 $13.13 75 5.22 NA 7.31 76 $61.84 7.11 $54.61 77 1.46 NA 70. Has Joshua & White's liquidity position improved or worsened? Explain. 1.76 1.72 79 80 quidity has it worsened compared to industry however nothing to worryas it is still more than the deal. In ca 81 of current should be o 12 to 2 and in case of quick should idealy be 1 82 Price-to-earrings ratio Cash flow per share Price-to-cash flow ratio Book Value per share Market-to-book ratio b. Has Joshua & White's ability to manage its assets improved or worsened? Explain. Build a Model Ready - Arial 11 AA 8 Wrap Text V Paste BIU V A Merge & Ce E141 G H A B D F 102 e. Perform a common size analysis. What has happened to the composition 103 (that is, percentage in each category) of assets and liabilities? 104 105 Common Size Balance Sheets 106 Assets 2019 2018 107 Cash and cash equivalents 5.5% 6.1% 108 Short-term investments 1.0% 1.0% 109 Accounts Receivable 13.7% 14.7% 110 Inventories 21.9% 17.1% 111 Total current assets 42.0% 38.9% 112 Net fixed assets 58.0% 61.1% 113 Total assets 100.0% 100.0% 114 2019 8.7% 3.3% 5.2% 17.2% 17.6% 34.8% 46.4% 18.8% 65.2% 100.0% 2018 9.8% 3.7% 2.0% 15.4% 17.8% 33.3% 54.5% 12 2% 66.8% 100.0% 115 Liabilities and equity 116 Accounts payable 117 Accruals 118 Notes payable 119 Total current liabilities 120 Long-term debt 121 Total liabilities 122 Common stock 123 Retained Earnings 124 Total common equity 125 Total liabilities and equity 126 127 Common Size Income Statements 12B Sales 129 COGS except excluding dopr. and amort. 130 Depreciation and Amortization 131 Other operating expenses 132 EBIT 133 Interest Expense 134 EBT 136 Taxes (25%) 136 Net Income 137 138 139 140 2019 100.0% 71.4% 4.7% 6.6% 17.3% 1.4% 16.0% 4.0% 12.0% 2018 100.0% 74.5% 4.5% 5.5% 15.5% 1.1% 14.4% 3.6% 10.8% 141 Build a Model 12