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Need help not sure of how to calculate the solutions to the problem Problem 3-13 Warner Company Balance Sheet Current Assets Warner Company Income Statement
Need help not sure of how to calculate the solutions to the problem
Problem 3-13 Warner Company Balance Sheet Current Assets Warner Company Income Statement Recall from reading checkpoint 3.1 to construct an income statement in this space, adjusting as needed. (You may delete these instructions.) Long Term (fixed) assets Current Liabilities Long-term Liabilities Owners Equity Total liabilities and equity Q. What can you say about the firm's financial condition based on these financial statements? Q. Using the CSU Online Library find one article that discuses financial statements, cash flow, or ratio analysis. Briefly summarize the key points of the article as it relates to this unit. You may use any of the databases, but Business Source Complete is a good starting place. ome Statement cial r ratio analysis. Briefly bases, but Business Problem 3-15 Answer the following four questions using the information found in the statements. a. Does BigBox generate positive cash flow from its operations? b. How much did BigBox invest in new capital expenditures over the last four years? c. Describe BigBox's sources of financing in the financial markets over the last four years. d. Based solely on the cash flow statement for 2010 through 2013, write a brief narrative that describes the major activities of BigBox's management team over the last four years. Problem 4-25 Instructions to use the Solution Template Step 1 Enter the given values from the textbook on page 116 in the yellow colored cells below. Step 2 In Cell E52, Calculate Current ratio using formula "Current Assets / Current Liabilities" Step 3 In Cell E53, Calculate Times interest earned using formula "Net Operating Income/ Interes Step 4 In Cell E54, Calculate Inventory Turnover using formula "Cost of goods sold/ Inventory" Step 5 In Cell E55, Calculate Total Asset turn Over using formula "Net Sales / Total Assets" Step 6 In Cell E56, Calculate Operating Profit Margin using formula "Net Operating Income / Net S Step 7 In Cell E57, Calculate Operating Return on Assets using formula "Net Operating Income / T Step 8 In Cell E58, Calculate Debt Ratio using formula "( Current Liabilities + Long-term debt) / To Step 9 In Cell E59, Calculate Average Collection Period using formula "( Accounts Receivable * 365 Step 10 In Cell E60, Calculate Fixed Asset Turnover using formula "Net Sales / Net Fixed Assets " Step 11 In Cell E61, Calculate Return on Equity using formula "Net Income / Owner's Equity" Given J. P. Robard Mfg., Inc. Balance Sheet ($000) Cash Accounts receivable Inventories Current assets Net fixed assets Total assets Accounts payable Accrued expenses Short-term notes payable Current liabilities Long-term debt Owners' equity Total liabilities and owners' equity J. P. Robard Mfg., Inc. Income Statement ($000) Net sales (all credit) Cost of goods sold Gross profit Operating expenses (includes $500 depreciation) Net operating income Interest expense Earnings before taxes Income taxes (40%) Net income Solution Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity Problem 4-25 tions to use the Solution Template ge 116 in the yellow colored cells below. a "Current Assets / Current Liabilities" g formula "Net Operating Income/ Interest Expense" ormula "Cost of goods sold/ Inventory" g formula "Net Sales / Total Assets" ing formula "Net Operating Income / Net Sales" s using formula "Net Operating Income / Total Assets" ( Current Liabilities + Long-term debt) / Total Assets" using formula "( Accounts Receivable * 365 ) / Credit Sales " formula "Net Sales / Net Fixed Assets " mula "Net Income / Owner's Equity" Given Enter the given values from the text book here Solution Current Ratio = Current Assets / Current Liabilities Times interest Earned= Net Operating Income/ Interest Expense Inventory Turnover= Cost of goods sold/ Inventory Total Asset turn Over = Net Sales / Total Assets Operating Profit Margin = Net Operating Income / Net Sales Operating Return on Assets = Net Operating Income / Total Assets Debt Ratio = ( Current Liabilities + Long-term debt) / Total Assets Average Collection Period =( Accounts Receivable * 365 ) / Credit Sales Fixed Asset Turnover = Net Sales / Net Fixed Assets Return on Equity = Net Income / Owner's Equity nterest ome / Total bt) / Total e * 365 ) / CreditStep by Step Solution
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