NOTE I would love it if you can give me the formulas instead and I work on it, It will be greatly appreciated P13 4 Computing Ratios and Comparing Alternative Investment Opportunities LO 13 3, 13 4, 13 5, 13 6, 13 7 The current year financial statements for Blue Water Company and Prime Fish Company are presented below Blue Water Prime Fish Balance sheet Cash $ 41,100 $ 20,900 Accounts receivable (net) 38,500 31,300 Inventory 98,500 40,600 Property equipment (net) 141,500 402,200 Other assets 84,100 306,000 Total assets $ 403,700 $ 801,000 Current liabilities $ 98,500 $ 50,500 Long term debt (interest rate 15 ) 65,700 60,200 Capital stock ($10 par value) 148,700 513,000 Additional paid in capital 29,100 106,100 Retained earnings 61,700 71,200 Total liabilities and stockholders equity $ 403,700 $ 801,000 Income statement Sales revenue (1 2 on credit) $ 445,500 $ 801,000 Cost of goods sold (240,500 ) (400,100 ) Operating expenses (161,200 ) (311,100 ) Net income $ 43,800 $ 89,800 Other data Per share stock price at end of current year $ 22 1 $ 16 Average income tax rate 45 45 Dividends declared and paid in current year $ 33,100 $ 148,500 Both companies are in the fish catching and manufacturing business Both have been in business approximately 10 years, and each has had steady growth The management of each has a different viewpoint in many respects Blue Water is more conservative, and as its president has said, We avoid what we consider to be undue risk Neither company is publicly held Required 1 Complete a schedule that reflects a ratio analysis of each company (Round your intermediate calculations and final answers to 2 decimal places Enter percentage answers rounded to 2 decimal places (i e 0 1234 should be entered as 12 34) ) Ratio WATER COMPANY COMPAN FISH Profitability ratios Return on equity 2 Return on assets 3 Financial leverage percentage 4 Net profit margin 5 Earnings per share Turnover ratios 6 Total asset turnover 7 Fixed asset turnover 8 Receivable turnover Inventory turnover Liquidity ratios 10 Current ratio 11 Quick ratio 12 Cash ratio Solvency ratios 13 Debt equity ratio Market ratios 1 14 Price earnings ratio 15 Dividend yield ratio

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NOTE: I would love it if you can give me the formulas instead and I work on it, It will be greatly appreciated. P13-4 Computing

NOTE: I would love it if you can give me the formulas instead and I work on it, It will be greatly appreciated.

P13-4 Computing Ratios and Comparing Alternative Investment Opportunities LO 13-3, 13-4, 13-5, 13-6, 13-7

The current year financial statements for Blue Water Company and Prime Fish Company are presented below.

	Blue Water			Prime Fish
Balance sheet:
Cash	$	41,100		$	20,900
Accounts receivable (net)		38,500			31,300
Inventory		98,500			40,600
Property & equipment (net)		141,500			402,200
Other assets		84,100			306,000
Total assets	$	403,700		$	801,000
Current liabilities	$	98,500		$	50,500
Long-term debt (interest rate: 15%)		65,700			60,200
Capital stock ($10 par value)		148,700			513,000
Additional paid-in capital		29,100			106,100
Retained earnings		61,700			71,200
Total liabilities and stockholders equity	$	403,700		$	801,000
Income statement:
Sales revenue (1/2 on credit)	$	445,500		$	801,000
Cost of goods sold		(240,500	)		(400,100	)
Operating expenses		(161,200	)		(311,100	)
Net income	$	43,800		$	89,800
Other data:
Per share stock price at end of current year	$	22.1		$	16
Average income tax rate		45	%		45	%
Dividends declared and paid in current year	$	33,100		$	148,500

Both companies are in the fish catching and manufacturing business. Both have been in business approximately 10 years, and each has had steady growth. The management of each has a different viewpoint in many respects. Blue Water is more conservative, and as its president has said, We avoid what we consider to be undue risk. Neither company is publicly held.

Required:

1. Complete a schedule that reflects a ratio analysis of each company. (Round your intermediate calculations and final answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34).)

Ratio WATER COMPANY COMPAN FISH Profitability ratios .Return on equity 2. Return on assets 3. Financial leverage percentage 4. Net profit margin 5. Earnings per share Turnover ratios 6. Total asset turnover 7. Fixed asset turnover 8. Receivable turnover Inventory turnover Liquidity ratios 10. Current ratio 11. Quick ratio 12 Cash ratio Solvency ratios: 13. Debt/equity ratio Market ratios: 1 14. Price/earnings ratio 15. Dividend yield ratio