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need assistance with questions 5-10. please help with explanation.thank you The following are the income statement and the balance sheet of XYZ Corporation for 2007.
need assistance with questions 5-10. please help with explanation.thank you
The following are the income statement and the balance sheet of XYZ Corporation for 2007. XYZ Corporation 2012 Income Statement ($ in millions) Sales 3756 Cost of goods sold 2453 Depreciation 490 Earnings before interest and taxes 813 Interest paid 613 Taxable income 200 Taxes (34%) 68 Net income 132 Dividend 46 Addition to retained earnings 86 XYZ Corporation Balance Sheet as of December 31, 2012 ($ in millions) 88 Current Assets Cash Accounts Receivables Inventory Total 192 144 368 1039 648 1183 Liabilities and Owner's Equity Current Liabilities Accounts Payable Note Payable Total Long-term debt Owners' equity Common Stock Retained Earnings Total Total Liabilities and Owner's Equity 2077 Fixed Assets Net Plant and Equipment 5.354 300 2442 2742 Total Assets 6,002 6.002 Calculate the following ratios. 1. Current Ratio 2. Quick Ratio 3. Inventory Turnover 4. Assets Turnover Ratio 5. Receivables Turnover (assume 100% sales on credit) 6. Number of days to collection (assume 365 days) 7. Debt-Equity Ratio 8. Times interest earned ratio 9. Return-on-equity ratio 10. Return on assets (marginal tax rate 34%)Step by Step Solution
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