Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please Calculate the following ratios for fiscal year 2008: a. Current Ratio b.Acid-test ratio c.Inventory turnover d.Days' sales in receivables e.Debt Ratio f.Times-Intrest-earned ratioi g.Rate

Please Calculate the following ratios for fiscal year 2008:

a. Current Ratio

b.Acid-test ratio

c.Inventory turnover

d.Days' sales in receivables

e.Debt Ratio

f.Times-Intrest-earned ratioi

g.Rate of return on net sales

h.Rate of return on total assets

i.Rate of return on common stockholders' equity

j.Earnings per share of common stockholders' equity

k.Price/earnings ratio

l. Dividend yield

m. Book value per share of common stock

Target Corporation income statment is presented below

Target Corporation

Income Statment (Adapted)

For the Fiscal Year 2008 and 2007

(Dollars in Million) 2008 2007

Sales Revenue** $63,339 $62,530

Cost of Goods Sold 44,157 42,929

Gross Profit 19,182 19,601

Operating Expenses: 12,954 12,670

Selling,general,and Administrative 1,826 1,659

Depreciation 4,402 5,272

Operating income 866 647

Intrest expense,net 1,322 1,776

Income tax expense $2,214 $2,489

Net income

Also, the company's balance sheet (adaptes), at the end of fiscal year 2008 and 2007 provided.

Target Corporation

Balance Sheet (Adapted)

End of Fiscal Year*

(Dollars In Millions) 2008 2007

Current assets $864 $2,450

Cash and Cash equivalents 8,084 8,054

Credit Card receivables, net of allowance 6,705 6,780

Other Current Assets 1,835 1,622

Total Current Assets 17,488 18,906

Property,plant,and equitment net 25,756 24,095

Other noncurrent assets 862 1,559

Total Assets $44,106 $44,560

Current Liablilites

Accounts Payable $6,337 $$6,721

Other Current Liabilites 4,175 5,061

Total current liabilites 10,512 11,782

Long-term liabilites 19,882 17,471

Total Liabilites 30,394 29,253

Common stock and Additional paid in capital 2,825 2,724

Retained earnings* 10,887 12,583

Total stockholders' equity 13,712 15,307

Total liabilites and equity $44,106 $44,560

* January 31 2009 ( fiscal year 2008) and Febuary 2,2008 ( Fiscal year 2007)

Other Company Information is as follows:

Target has no prefeered stock issued or outstanding

There were 752,712,464 common shares issued and outsanding at the end of fiscal year 2008

Cash dividends of $0.62 per share were declared during fiscal year 2008

The closing marker price per share was $31.20 on Friday,January 30,2009 ( the end of fiscal year 2008) and $57.05 on Friday,Febuary 1,2008 (the end of fiscal year 2007)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions