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Please show work 2. Ratio Analysis a) Use the Balance Sheet and Income Statement information to calculate the following ratios in 2018: Liquidity Ratios current

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2. Ratio Analysis a) Use the Balance Sheet and Income Statement information to calculate the following ratios in 2018: Liquidity Ratios current ratio, cash ratio, quick ratio, Interval measure and Net working capital to total assets Long-term solvency, or financial leverage ratios Total debt ratio, Debt-equity ratio, equity multiplier, Long-term debt ratio, Times interest earned ratio and cash coverage ratio Asset management, or turnover, ratios Inventory turnover, days' sales inventory, receivables turnover, days' sales in receivable, net working capital turnover, net fixed asset turnover and total asset turnover Profitability ratios Profit margin, Return on assets, Return on Equity Market value ratios (Market Price per share = $10, Number of Shares Outstanding = 100m) Price-Earnings ratio, Market-to-book ratio, enterprise value, EBITDA ratio o Assets 2017 2018 U.S. CORPORATION 2017 and 2018 Balance Sheets ($ in millions Labilities and Owners' Equity 2018 2017 Current liabilities $ 221 Accounts payable $ 232 688 Notes payable 196 555 Total $ 428 $1,464 $ 104 455 $ 266 123 $ 389 Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment 553 $1,112 Long-term debt $ 408 $ 454 $1,644 $1.709 Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity 600 1,320 $1,920 640 1,690 $2,330 Total assets $2,756 $3,173 $2,756 $3,173 U.S. CORPORATION 2018 Income Statement ($ in millons) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes (21%) Net income $1,509 750 65 $ 694 70 $ 624 131 $ 493 Dividends Addition to retained earnings $123 370

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