Part 2: Meciulo 6: I.ean Anahyir then Neqneit: Aasamptiam Tod far ane Focecast 2023 Arcome Stairaent 5400 en the Spezatibeter thandill Scatemene pasted in Mlodule d: troc 201 to 2622(6.+[676,410705,109)]1=04 or y. (2) Tas Coit of rise br 54,060 . as the oddincod desestation expene cllomed for the bex toeter. Assets ex:lataz Caik. arsesav far 2002 Qaeudoas to Lavker: Ties the informatian an the exrel rgeradahar proted in Med. 6 " 1. Do a finazsial aalyzin for the cumpany includiea! ard areve the hallowiry quartista. (a) Ligaiary \& Solvenct Anslycis hor pogmant of 36,5te ? 1. Do a financial analysis for the company inclnting: and answer the following cusitions. (a) L.iquidity \& Solvency Analysis: (1) Based cu the indirect cash flow statements for 2021 and 2022 does D.VI have suffrient essh flow foem spersocna 10 eover its smmal Loan pryment of 96,510 ? (ii) Evaluate the industry scerrocisuns and trends in DX/H's surtent ratio, debt ratios, and tumes unterest eamed ratios, aod companisen to the zdustry average, and discuss DMal's stered Liguidity and solvency riek in teraes of the Ium's ability to cover assesi). (iii) Dvaluate the iedustry comparsons and trends in DMLH's cach tlon liqaxdity ratios inchading jits Cash Flow frven Openaions to Sales tativ, growth rake in sales, days [Note: Doys inventory is the averane number cz days it takes for invemisry to be sell, Doy AR ba the average eumber of deys it taikes to colloct cen acconars receivahle, and the sum cid Dys AR and Days Inventory is the firm's operating cycle dxy, the time it suppliers and employees (Day Acccuns Payable \& Accrued Liabilities), this gives the Cssh ta Cath Conversien Doys, the meriber of days to pentate caah, se the lawer the C. to C. Drys, the frose the frmi is in Ex-myitig cash [10n.] (b) Do a Dupun Profitability Analysis fix the textds in ROE and ROA (ty eriluaring trenes and industry comparisoas in the NPM, GPM1, and OPM and days initanory, and eans acconcrs receivable. Eviluate ntry the firm's KUE and FOA went donn in 2022 , and netry they went op in the forecast ioc 2023 tosed on the trends in NMM, AU, and EM, and the factors affecting AV (i.e., invenory days, AR (ie. GPM, OPM, and interest expense to sales). Also, explain why the industry RnE and ROA set lower than the industry gcrege booed en these apeetfic. tastors. Q Summarize the strengeths \& nealmesses for DiE based an Four tnduscry compartsons and trend analyses. c. Gtre your evaluation concerning whether the loan should be made, and rhe risk rating sou would swch for the loan (A, excellent risk, B good risk, C average risk, D belew averzze risk), and erplatn why. What collararal shonld be used as protection for the loan? Denver Mile-High Natural Groceries All statement in thousands Financial Ratios Liabilities \& Equity: Accounts Payable Accrued Liabilities Total Current Liabilities Long-term Debt Total Debt Common Stock Retained Earnings Total Equity Total Liabs. \& Equity Indirect Cash Flow Statement Net Income Depreciation Expense Less Rise in AR Less Rise in Inventory Plus Rise in AP Plus Rise in AL Net Cash Flow Operations $61,965.41 $16,036.08 \begin{tabular}{l|l|l|l|} \hline$78,001.49 & 71,561 & 66,541 \\ \hline$94,584.49 & Plus 37.49 & 94,547 & 88,980 \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|} \hline OPM & 3.36% & 2.15% & 3.54% & 2.78% \\ \hline AU & 2.65 & 2.56 & 2.50 & 3.07 \\ \hline FAT & 3.11 & 2.85 & 2.68 & 4.00 \\ \hline EM & 2.20 & 2.24 & 2.23 & 2.99 \\ \hline \end{tabular} Cash Used in Investing: Change in NPPE Plus Depreciation Expense Net Cash Used in Investing $172,585.98 Given 166,108155,521 \begin{tabular}{|c|l|l|l|} \hline$55,037.00 & stays same & 55,037 & 54,770 \\ \hline$88,540.76 & PreRE+AddRE & 78,846 & 71,955 \\ \hline$143,577.76 & & 133,883 & 126,725 \\ \hline$316,163.74 & & 299,991 & 282,246 \\ \hline \end{tabular} Total S\&U Cash from Financing: Dividends Paid Rise in LT Debt Rise in Common Stock Cash from Financing: Change in Cash CFO less CFI plus CFF Check Change Cash $7,274.26 $7,274.26 $2,504.00 2504 Part 2: Meciulo 6: I.ean Anahyir then Neqneit: Aasamptiam Tod far ane Focecast 2023 Arcome Stairaent 5400 en the Spezatibeter thandill Scatemene pasted in Mlodule d: troc 201 to 2622(6.+[676,410705,109)]1=04 or y. (2) Tas Coit of rise br 54,060 . as the oddincod desestation expene cllomed for the bex toeter. Assets ex:lataz Caik. arsesav far 2002 Qaeudoas to Lavker: Ties the informatian an the exrel rgeradahar proted in Med. 6 " 1. Do a finazsial aalyzin for the cumpany includiea! ard areve the hallowiry quartista. (a) Ligaiary \& Solvenct Anslycis hor pogmant of 36,5te ? 1. Do a financial analysis for the company inclnting: and answer the following cusitions. (a) L.iquidity \& Solvency Analysis: (1) Based cu the indirect cash flow statements for 2021 and 2022 does D.VI have suffrient essh flow foem spersocna 10 eover its smmal Loan pryment of 96,510 ? (ii) Evaluate the industry scerrocisuns and trends in DX/H's surtent ratio, debt ratios, and tumes unterest eamed ratios, aod companisen to the zdustry average, and discuss DMal's stered Liguidity and solvency riek in teraes of the Ium's ability to cover assesi). (iii) Dvaluate the iedustry comparsons and trends in DMLH's cach tlon liqaxdity ratios inchading jits Cash Flow frven Openaions to Sales tativ, growth rake in sales, days [Note: Doys inventory is the averane number cz days it takes for invemisry to be sell, Doy AR ba the average eumber of deys it taikes to colloct cen acconars receivahle, and the sum cid Dys AR and Days Inventory is the firm's operating cycle dxy, the time it suppliers and employees (Day Acccuns Payable \& Accrued Liabilities), this gives the Cssh ta Cath Conversien Doys, the meriber of days to pentate caah, se the lawer the C. to C. Drys, the frose the frmi is in Ex-myitig cash [10n.] (b) Do a Dupun Profitability Analysis fix the textds in ROE and ROA (ty eriluaring trenes and industry comparisoas in the NPM, GPM1, and OPM and days initanory, and eans acconcrs receivable. Eviluate ntry the firm's KUE and FOA went donn in 2022 , and netry they went op in the forecast ioc 2023 tosed on the trends in NMM, AU, and EM, and the factors affecting AV (i.e., invenory days, AR (ie. GPM, OPM, and interest expense to sales). Also, explain why the industry RnE and ROA set lower than the industry gcrege booed en these apeetfic. tastors. Q Summarize the strengeths \& nealmesses for DiE based an Four tnduscry compartsons and trend analyses. c. Gtre your evaluation concerning whether the loan should be made, and rhe risk rating sou would swch for the loan (A, excellent risk, B good risk, C average risk, D belew averzze risk), and erplatn why. What collararal shonld be used as protection for the loan? Denver Mile-High Natural Groceries All statement in thousands Financial Ratios Liabilities \& Equity: Accounts Payable Accrued Liabilities Total Current Liabilities Long-term Debt Total Debt Common Stock Retained Earnings Total Equity Total Liabs. \& Equity Indirect Cash Flow Statement Net Income Depreciation Expense Less Rise in AR Less Rise in Inventory Plus Rise in AP Plus Rise in AL Net Cash Flow Operations $61,965.41 $16,036.08 \begin{tabular}{l|l|l|l|} \hline$78,001.49 & 71,561 & 66,541 \\ \hline$94,584.49 & Plus 37.49 & 94,547 & 88,980 \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|} \hline OPM & 3.36% & 2.15% & 3.54% & 2.78% \\ \hline AU & 2.65 & 2.56 & 2.50 & 3.07 \\ \hline FAT & 3.11 & 2.85 & 2.68 & 4.00 \\ \hline EM & 2.20 & 2.24 & 2.23 & 2.99 \\ \hline \end{tabular} Cash Used in Investing: Change in NPPE Plus Depreciation Expense Net Cash Used in Investing $172,585.98 Given 166,108155,521 \begin{tabular}{|c|l|l|l|} \hline$55,037.00 & stays same & 55,037 & 54,770 \\ \hline$88,540.76 & PreRE+AddRE & 78,846 & 71,955 \\ \hline$143,577.76 & & 133,883 & 126,725 \\ \hline$316,163.74 & & 299,991 & 282,246 \\ \hline \end{tabular} Total S\&U Cash from Financing: Dividends Paid Rise in LT Debt Rise in Common Stock Cash from Financing: Change in Cash CFO less CFI plus CFF Check Change Cash $7,274.26 $7,274.26 $2,504.00 2504