Introducing Financial Account Chapter 1 Net Income Year Assets Equity Liabilities $11,927 10,904 11,402 2011 $138,354 ? $70,353 68,209 ? 2012 64,035 68,709 2013 139,263 REQUIRED a. Compute the missing amounts for assets, liabilities, and equity for each year. b. Compute return on equity for 2012 and 2013. The median ROE for Fortune 500 companies is about 15%. How does P&G compare with this median? c. Compute the debt-to-equity ratio for 2012 and 2013. The median debt-to-equity ratio for the Fortune 500 companies is 1.8. How does P&G compare to this median? Formulating Financial Statements from Raw Data Following is selected financial information from General Mills, Inc., for its fiscal year ended May 25, 2014 (S millions): Pl-37. LO2, 3 Gen NY: Caph and cash equivalents Nat cash from operations.. 2ales ockhoiders' equity of goods sold. Net cash from financing $ 867.3 2,541.0 17,909.6 7,005.4 11,539.8 (1,824.1) 16,140.3 4,508.5 22,278.4 (561.8) 1,861.3 (29.2) 741.4 ola liabilities. Cther expenses, including income taxes. Noncash assets Net cash from investing Net income Effect of exchange rate changes on cash Cash, beginning year REQUIRED Prepare an income statement, balance sheet, and statement of cash flows for General Mills, Inc. What portion of the financing is contributed by owners? a. b. P1-38. Formulating Financial Statements from Raw Data Following is selected financial information from Abercrombie & Fitch for its fiscal year ended February 1, 2014 ($ millions): LO2, 3 Abercr Cash asset Cash flows from operations Sales.. Stockholders' equity Cost of goods sold. . Cash flows from financing Total liabilities.. Other expenses, including income taxes. Noncash assets . Cash flows from investing Net income.. . S 600.1 175.5 4,116.9 1,729.5 1,541.5 (40.8) 1,121.5 2,520.8 2,250.9 (173.9) 54.6 (4.2) Effect of exchange rate changes on cash Cash, beginning year 643.5 Formulating Financial Statements from Raw Data Following is selected financial information from General Mills, Inc., for its fiscal year ended May 25, 2014 ($ millions): P1-37. LO2, NIRC G Caph and cash equivalents Nat cash from operations. 2des.... $ 867.3 2,541.0 17,909.6 7,005.4 ockhoiders' equity of goods sold. Net cash from financing. Folst ilabilities.. Cher expenses, including income taxes Noncash assets Net cash from investing Net income.. Effect of exchange rate changes on cash Cash, beginning year. 11,539.8 (1,824.1) 16,140.3 4,508.5 22,278.4 (561.8) 1,861.3 (29.2) 741.4 REQUIRED Prepare an income statement, balance sheet, and statement of cash flows for General Mills, Inc. What portion of the financing is contributed by owners? a. b
