Question
please calculate the 13 ratios for the two most recent fiscal years (2021 and 2022). Show clearly what values you use for each calculation. Profitability
please calculate the 13 ratios for the two most recent fiscal years (2021 and 2022). Show clearly what values you use for each calculation.
Profitability Ratios
Gross profit margin
1. Gross profit Revenue
2. Return on sales (total profit margin)
Net Income Revenue
3. Return on assets
Net Income Total Assets
4. Return on equity
Net Income Total Equity
Asset Management Ratios
5. A/R Turnover-
Revenues Average A/R
6. Average days of receivables
365 A/R Turnover
7. Inventory Turnover
Cost of Goods Sold Average Inventory
8. Average days of inventory
365 Inventory Turnover
9.Total asset turnover
Revenues Total Assets
Liquidity Ratios
10. Current ratio
Current Assets Current Liabilities
11. Quick ratio (aka Acid-Test ratio)
(Cash + A/R + Marketable Securities) Current Liabilities
12. A/P Turnover
Cost of Goods Sold Average Payables
13. Average days of payables
365 A/P Turnover
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