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Ontario Inc. reports the following financial statements for 2015: Income Statement Actual Sales revenues $300 Cost of goods sold 180 Gross profit 120 Depreciation expense

Ontario Inc. reports the following financial statements for 2015:

Income Statement

Actual

Sales revenues

$300

Cost of goods sold

180

Gross profit

120

Depreciation expense

20

Other operating expenses

60

Operating income

40

Interest expense

10

Income before taxes

30

Income tax expense

6

Net income

$24

Earnings per share

$.25

Balance Sheet

Assets

Liabilities

Cash

$20

Current: accounts payable

$85

Accounts receivable

60

Long-term: bonds payable

115

Inventory

90

Total liabilities

200

Total current assets

170

Shareholders Equity

Equipment, cost

410

Contributed capital

180

Less: accumulated depreciation

(80)

Retained earnings

120

Equipment, net

330

Total shareholders equity

300

Total assets

$500

Total liabilities and s/equity

$500

Required: Compute the following ratios for 2015:

RATIOs

Calculated RATIO

1.Current (working capital)

2.Accounts receivable turnover

3.Days in accounts receivable

4.Inventory turnover

5.Days in inventory

6.Accounts payable turnover

7.Days in accounts payable

8.Net cash conversion cycle

9.Operating profit margin

10.Net profit margin

11.Asset turnover

12.Return on assets

13.Return on equity

14.Debt to capital

15.Earnings coverage

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