I WILL RATE

Q1

The following is the balance sheet and income statement for Metro Eagle Outfitters, in condensed form, plus some information from the cash flow statement. 2022 $ 635,992 46,821 337,452 126,535 1,146,800 580,332 $ 1,727,132 $ 445,402 505, 445 1,221,687 $ 1,727,132 2021 $ 750,044 40,810 377,514 129, 120 1,297,488 639,982 $ 1,937, 470 $ 420,401 519,286 1,418, 184 $ 1,937, 470 2020 $ 739,693 37,721 306,208 100,788 1,184,410 586,302 $ 1,770,712 $ 392,837 418,641 1,352,071 $ 1,770,712 Balance Sheet Cash and short-term investments Accounts receivable Inventory Other current assets Total current assets Long-lived assets Total assets Current liabilities Total liabilities Shareholders' equity Total liabilities and equity Income Statement Sales Cost of sales Gross margin Operating expenses Earnings before interest and taxes Net income Interest paid in cash Taxes paid in cash Cash Flows Cash flow from operations Capital expenditures Dividends $ 3,476,802 2,090,480 $ 1,386, 322 983,784 $ 402,538 $ 237,108 85 142,509 $ 3,120,565 1,980,471 $ 1,140,094 864,385 $ 275,709 $ 152, 205 187 100,006 $ 2,946,294 1,768, 143 $ 1,178, 151 860,276 $ 317,875 $ 141,147 166 46,237 $ 527,171 94,439 86,092 $ 430,817 90, 466 86,092 $ 385,416 76,904 83,666 Required: Calculate the following liquidity ratios for Metro Eagle in 2021 and 2022: 1. Inventory turnover. 2. Current ratio. 3. Quick ratio. 4. Cash flow ratio. Inventory Turnover 2022 2021 Numerator O = 0 Denominator Average inventory 2022 2021 Cash Numerator = o o Denominator Cash and receivables Cash flow from operations 2022 2021 Cost of sales Numerator Current accets II O = = 0 Denominator Cash Flow Ratio 2022 2021 Numerator = 0 o Denominator