Homework Ch 7 - Analysis of Financial Statements \begin{tabular}{ll} 5. & 0 \\ 6. & 0 \\ 7 & 0 \end{tabular} Comprehensive Ratio Analysis The Jimenez Corporation's forecasted 2019 financial statements follow, along with some industry average ratios. Jimenez Corporation: Forecasted Balance Sheet as of December 31, 2019 Homework Ch 7 - Analysis of Financial Statements Industry average ratios have been stable for the past 4 years. based on year-end balance sheet figures. Calculation is based on a 365 -day year. Calculate Jimenez's 2019 forecasted ratios, compare them with the industry average data, and comment briefly on Jimenez's projected strengths and weaknesses. Assume that there are no changes from the prior period to any of the operating balance sheet accounts. Do not round intermediate calculation. Round DSO to the nearest whole number. Round the other ratios to one decimal place. Homework Ch 7-Analysis of Financial Statements \begin{tabular}{|c|c|c|c|c|} \hline Ratios & & Firm & Industry & Comment \\ \hline Quick ratio & .84 & 10 & 1.0 & Weak ) \\ \hline Current ratio & & & 2.7 & Weak \\ \hline Inventory turnover & 4.11 & 0 & 7.0 & Poor \\ \hline Days sales outstanding & 37.35 & Odays & 32 days & \\ \hline Fixed assets turnover & 9.95 & & 13.0 & Poor 0 \\ \hline Total assets turnover. & 2.34 & & 2.6 & Poor \\ \hline Return on assets & 6.1 & & 9.1% & 0 \\ \hline Return on equity & 13.51 & % & 18.2% & \\ \hline Profit margin on sales & 2.61 & 0% & 3.5% & ald \\ \hline Debt ratio & 45.7 & 3% & 21.0% & High \\ \hline Liabilities-to-assets & 54.79 & 0% & 50.0% & High \\ \hline EPS & $4.71 & & n.a. & \\ \hline Stock Price & $23.57 & & n.a. & \\ \hline P/E ratio & 5 & 3 & 5.0 & High Z \\ \hline Price/Cash flow ratio & & 8 & 3.5 & Poor \\ \hline Market/Book ratio & .68 & & 3.5 & Poor \\ \hline \end{tabular}