Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help solve! I am missing a step. Thanks! Problem 4.37 Modern Appliances Corporation has reported its financial results for the year ended December 31,

Please help solve! I am missing a step. Thanks!

Problem 4.37 Modern Appliances Corporation has reported its financial results for the year ended December 31, 2013.
Modern Appliances Corporation Income Statement for the Fiscal Year Ended December 31, 2013
Net sales $5,398,412,000
Cost of goods sold 3,432,925,255
Gross profit $1,965,486,745
Selling, general, and administrative expenses 1,036,311,231
Depreciation 299,928,155
Operating income $629,247,359
Interest expense 35,826,000
EBT $593,421,359
Income taxes 163,104,554
Net earnings $430,316,805
Modern Appliances Corporation Balance Sheet as of December 31, 2013
Assets: Liabilities and Equity:
Cash and cash equivalents $514,412,159 Short-term borrowings $117,109,865
Accounts receivable 1,046,612,233 Trade accounts payable 466,937,985
Inventories 981,870,990 Other current liabilities 994,289,383
Other Current Assets 313,621,610
Total current assets $2,856,516,992 Total current liabilities $1,578,337,233
Net Fixed Assets 754,660,275 Long-term debt 1,200,691,565
Goodwill 118,407,710 Common stock 397,407,352
Other Assets 665,058,761 Retained earnings 1,218,207,588
Total assets $4,394,643,738 Total liabilities and equity $4,394,643,738
Using the information from the financial statements, complete a comprehensive ratio analysis for Modern Appliances Corporation.(Round your answers to 2 decimal places , e.g.12.25 or 12.25%. Use 365 days for calculation.)
Liquidity Ratios
Current Ratio times
Quick Ratio times
Efficiency Ratios
Inventory turnover ratio times
Accounts receivables turnover times
DSO days
Asset Turnover Ratios
Total asset turnover times
Fixed assets turnover times
Leverage Ratios
Total debt ratio
Debt to equity ratio
Equity multiplier
Coverage Ratios
Times interest earned times
Cash coverage times
Profitability Ratios
Gross Profit Margin %
Net Profit Margin %
ROA %
ROE %
Du Point identity
ROE

%

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

Recommended Textbook for

International Financial Management

Authors: Geert Bekaert, Robert Hodrick

3rd edition

1107111820, 110711182X, 978-1107111820

More Books

Students also viewed these Finance questions

Question

Differentiate the function. r(z) = 2-8 - 21/2 r'(z) =

Answered: 1 week ago