Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

pls show work 2. For both this year and last year: a. Present the balance sheet in common-size format for both this year and last

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

pls show work
2. For both this year and last year: a. Present the balance sheet in common-size format for both this year and last year. b. Present the income statement in common-size format down through net income for both this year and last year. Prepare Ratios that Assess Profitability and Market Performance: Go online to find the close of day market price for the last day of your fiscal year for each year being considered. If the stock market was closed on the last day of the fiscal year, use the most recent day preceding the end of the period. 3. Assess the company's stock market performance. For both this year and last year, compute: a. The earnings per share. b. The dividend yield ratio. c. The dividend payout ratio. d. The price-earnings ratio. e. The book value per share of common stock. 4. Assess the company's profitability. Compute the following for both this year and last year: a. The net profit margin percentage. b. The return on total assets. c. The return on equity. d. Is the company's financial leverage positive or negative? \begin{tabular}{l|l|l|} \hline Sep. 25, 2021 & Sep. 26, 2020 & Sep. 28,2019 \end{tabular} Statement of Cash Flows [Abstract] Cash, cash equivalents and restricted cash, beginning balances Operating activities: Net income Adjustments to reconcile net income to cash generated by operating activities: Depreciation and amortization Share-based compensation expense Deferred income tax benefit Other \begin{tabular}{|r|r|r|} \hline 94,680 & 57,411 & 55,256 \\ \hline 11,284 & 11,056 & 12,547 \\ \hline 7,906 & 6,829 & 6,068 \\ \hline(4,774) & (215) & (340) \\ \hline(147) & (97) & (652) \\ \hline \end{tabular} Changes in operating assets and liabilities: Accounts receivable, net Inventories Vendor non-trade receivables Other current and non-current assets Accounts payable Deferred revenue Other current and non-current liabilities Cash generated by operating activities \begin{tabular}{|r|r|r|} \hline(10,125) & 6,917 & 245 \\ \hline(2,642) & (127) & (289) \\ \hline(3,903) & 1,553 & 2,931 \\ \hline(8,042) & (9,588) & 873 \\ \hline 12,326 & (4,062) & (1,923) \\ \hline 1,676 & 2,081 & (625) \\ \hline 5,799 & 8,916 & (4,700) \\ \hline 104,038 & 80,674 & 69,391 \\ \hline \end{tabular} Investing activities: Purchases of marketable securities Proceeds from maturities of marketable securities Proceeds from sales of marketable securities Payments for acquisition of property, plant and equipment Payments made in connection with business acquisitions, net Purchases of non-marketable securities Proceeds from non-marketable securities Other Cash generated by/(used in) investing activities Financing activities: Proceeds from issuance of common stock Payments for taxes related to net share settlement of equity awards Payments for dividends and dividend equivalents Repurchases of common stock Proceeds from issuance of term debt, net Repayments of term debt Proceeds from/(Repayments of) commercial paper, net Other Cash used in financing activities Increase/(Decrease) in cash, cash equivalents and restricted cash Cash, cash equivalents and restricted cash, ending balances Supplemental cash flow disclosure: Cash paid for income taxes, net Cash paid for interest \begin{tabular}{|l|r|r|} \hline \multicolumn{1}{|c|}{ CONSOLIDATED BALANCE SHEETS (Parenthetical) - \$ / shares } & Sep. 25, 2021 & \multicolumn{1}{c|}{ Sep. 26, 2020} \\ \hline Statement of Financial Position [Abstract] & & \\ \hline Common stock, par value (in dollars per share) & $0.00001 & $0.00001 \\ \hline Common stock, shares authorized (in shares) & 50,400,000,000 & 50,400,000,000 \\ \hline Common stock, shares issued (in shares) & 16,426,786,000 & 16,976,763,000 \\ \hline Common stock, shares outstanding (in shares) & 16,426,786,000 & 16,976,763,000 \\ \hline \end{tabular} CONSOLIDATED BALANCE SHEETS - USD (\$) \$ in Millions Sep.25,2021Sep.26,2020 Current assets: Cash and cash equivalents Marketable securities Accounts receivable, net Inventories Vendor non-trade receivables Other current assets Total current assets \begin{tabular}{|r|r|} \hline 34,940 & $38,016 \\ \hline 27,699 & 52,927 \\ \hline 26,278 & 16,120 \\ \hline 6,580 & 4,061 \\ \hline 25,228 & 21,325 \\ \hline 14,111 & 11,264 \\ \hline 134,836 & 143,713 \\ \hline \end{tabular} Non-current assets: Marketable securities Property, plant and equipment, net Other non-current assets Total non-current assets Total assets \begin{tabular}{|r|r|} \hline 127,877 & 100,887 \\ \hline 39,440 & 36,766 \\ \hline 48,849 & 42,522 \\ \hline 216,166 & 180,175 \\ \hline 351,002 & 323,888 \\ \hline \end{tabular} Current liabilities: Accounts payable Other current liabilities Deferred revenue Commercial paper Term debt Total current liabilities Non-current liabilities: Term debt Other non-current liabilities Total non-current liabilities Total liabilities Commitments and contingencies Shareholders' equity: Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 16,426,786 and 16,976,763 shares issued and outstanding, respectively Retained earnings Accumulated other comprehensive income/(loss) Total shareholders' equity Total liabilities and shareholders' equity CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD (\$) in Millions \begin{tabular}{l|l|l} Sep. 25,2021 & Sep. 26,2020 & Sep. 28,2019 \end{tabular} Statement of Comprehensive Income [Abstract] Net income $94,680$57,411$55,256 Other comprehensive income/(loss): Change in foreign currency translation, net of tax Change in unrealized gains/losses on derivative instruments, net of tax: Change in fair value of derivative instruments Change in fair value of derivative instruments Adjustment for net (gains)/losses realized and included in net income Adjustment for net (gains)/losses realized and included in net income Total change in unrealized gains/losses on derivative instruments Total change in unrealized gains/losses on derivative instruments (638) Change in unrealized gains/losses on marketable debt securities, net of tax: Change in fair value of marketable debt securities Adjustment for net (gains)/losses realized and included in net income Total change in unrealized gains/losses on marketable debt securities Total other comprehensive income/(loss) Total comprehensive income \begin{tabular}{|r|r|r|} \hline(694) & 1,202 & 3,802 \\ \hline(273) & (63) & 25 \\ \hline(967) & 1,139 & 3,827 \\ \hline 569 & 42 & 2,781 \\ \hline$95,249 & $57,453 & $58,037 \\ \hline \end{tabular} CONSOLIDATED STATEMENTS OF OPERATIONS - USD (\$) shares in Thousands, $ in Millions Net sales Cost of sales Gross margin \begin{tabular}{|r|r|r|} \hline Sep. 25, 2021 & Sep. 26, 2020 & Sep. 28, 2019 \\ \hline$365,817 & $274,515 & $260,174 \\ \hline 212,981 & 169,559 & 161,782 \\ \hline 152,836 & 104,956 & 98,392 \\ \hline \end{tabular} Operating expenses: Research and development Selling, general and administrative Total operating expenses Operating income Other income/(expense), net Income before provision for income taxes Provision for income taxes Net income Earnings per share: Basic (in dollars per share) Diluted (in dollars per share) Shares used in computing earnings per share: Basic (in shares) Diluted (in shares) Products Net sales Cost of sales Services Net sales Cost of sales Your team has been hired by a multi-national conglomerate to assess two US public companies within the same industry. Your analysis will be used to decide on a major investment in one of the companies. Use the financial statements provided and any other data you wish to collect. For market performance analysis purposes use the stock market data at close of day on the last day of the period for the financial statements. If the stock market was not open on the last day of the period, use the most recent day prior to financial statement date. Required Deliverables: Prepare Common-Size Statements and Financial Ratios: 1. The following ratios for both this year and last year*: a. The amount of working capital. b. The current ratio. c. The acid-test ratio. d. The average collection period. e. The total asset turnover. f. The debt-to-equity ratio. g. The times interest earned ratio. h. The equity multiplier. 2. For both this year and last year: a. Present the balance sheet in common-size format for both this year and last year. b. Present the income statement in common-size format down through net income for both this year and last year. Prepare Ratios that Assess Profitability and Market Performance: Go online to find the close of day market price for the last day of your fiscal year for each year being considered. If the stock market was closed on the last day of the fiscal year, use the most recent day preceding the end of the period. 3. Assess the company's stock market performance. For both this year and last year, compute: a. The earnings per share. b. The dividend yield ratio. c. The dividend payout ratio. d. The price-earnings ratio. e. The book value per share of common stock. 4. Assess the company's profitability. Compute the following for both this year and last year: a. The net profit margin percentage. b. The return on total assets. c. The return on equity. d. Is the company's financial leverage positive or negative? \begin{tabular}{l|l|l|} \hline Sep. 25, 2021 & Sep. 26, 2020 & Sep. 28,2019 \end{tabular} Statement of Cash Flows [Abstract] Cash, cash equivalents and restricted cash, beginning balances Operating activities: Net income Adjustments to reconcile net income to cash generated by operating activities: Depreciation and amortization Share-based compensation expense Deferred income tax benefit Other \begin{tabular}{|r|r|r|} \hline 94,680 & 57,411 & 55,256 \\ \hline 11,284 & 11,056 & 12,547 \\ \hline 7,906 & 6,829 & 6,068 \\ \hline(4,774) & (215) & (340) \\ \hline(147) & (97) & (652) \\ \hline \end{tabular} Changes in operating assets and liabilities: Accounts receivable, net Inventories Vendor non-trade receivables Other current and non-current assets Accounts payable Deferred revenue Other current and non-current liabilities Cash generated by operating activities \begin{tabular}{|r|r|r|} \hline(10,125) & 6,917 & 245 \\ \hline(2,642) & (127) & (289) \\ \hline(3,903) & 1,553 & 2,931 \\ \hline(8,042) & (9,588) & 873 \\ \hline 12,326 & (4,062) & (1,923) \\ \hline 1,676 & 2,081 & (625) \\ \hline 5,799 & 8,916 & (4,700) \\ \hline 104,038 & 80,674 & 69,391 \\ \hline \end{tabular} Investing activities: Purchases of marketable securities Proceeds from maturities of marketable securities Proceeds from sales of marketable securities Payments for acquisition of property, plant and equipment Payments made in connection with business acquisitions, net Purchases of non-marketable securities Proceeds from non-marketable securities Other Cash generated by/(used in) investing activities Financing activities: Proceeds from issuance of common stock Payments for taxes related to net share settlement of equity awards Payments for dividends and dividend equivalents Repurchases of common stock Proceeds from issuance of term debt, net Repayments of term debt Proceeds from/(Repayments of) commercial paper, net Other Cash used in financing activities Increase/(Decrease) in cash, cash equivalents and restricted cash Cash, cash equivalents and restricted cash, ending balances Supplemental cash flow disclosure: Cash paid for income taxes, net Cash paid for interest \begin{tabular}{|l|r|r|} \hline \multicolumn{1}{|c|}{ CONSOLIDATED BALANCE SHEETS (Parenthetical) - \$ / shares } & Sep. 25, 2021 & \multicolumn{1}{c|}{ Sep. 26, 2020} \\ \hline Statement of Financial Position [Abstract] & & \\ \hline Common stock, par value (in dollars per share) & $0.00001 & $0.00001 \\ \hline Common stock, shares authorized (in shares) & 50,400,000,000 & 50,400,000,000 \\ \hline Common stock, shares issued (in shares) & 16,426,786,000 & 16,976,763,000 \\ \hline Common stock, shares outstanding (in shares) & 16,426,786,000 & 16,976,763,000 \\ \hline \end{tabular} CONSOLIDATED BALANCE SHEETS - USD (\$) \$ in Millions Sep.25,2021Sep.26,2020 Current assets: Cash and cash equivalents Marketable securities Accounts receivable, net Inventories Vendor non-trade receivables Other current assets Total current assets \begin{tabular}{|r|r|} \hline 34,940 & $38,016 \\ \hline 27,699 & 52,927 \\ \hline 26,278 & 16,120 \\ \hline 6,580 & 4,061 \\ \hline 25,228 & 21,325 \\ \hline 14,111 & 11,264 \\ \hline 134,836 & 143,713 \\ \hline \end{tabular} Non-current assets: Marketable securities Property, plant and equipment, net Other non-current assets Total non-current assets Total assets \begin{tabular}{|r|r|} \hline 127,877 & 100,887 \\ \hline 39,440 & 36,766 \\ \hline 48,849 & 42,522 \\ \hline 216,166 & 180,175 \\ \hline 351,002 & 323,888 \\ \hline \end{tabular} Current liabilities: Accounts payable Other current liabilities Deferred revenue Commercial paper Term debt Total current liabilities Non-current liabilities: Term debt Other non-current liabilities Total non-current liabilities Total liabilities Commitments and contingencies Shareholders' equity: Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 16,426,786 and 16,976,763 shares issued and outstanding, respectively Retained earnings Accumulated other comprehensive income/(loss) Total shareholders' equity Total liabilities and shareholders' equity CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD (\$) in Millions \begin{tabular}{l|l|l} Sep. 25,2021 & Sep. 26,2020 & Sep. 28,2019 \end{tabular} Statement of Comprehensive Income [Abstract] Net income $94,680$57,411$55,256 Other comprehensive income/(loss): Change in foreign currency translation, net of tax Change in unrealized gains/losses on derivative instruments, net of tax: Change in fair value of derivative instruments Change in fair value of derivative instruments Adjustment for net (gains)/losses realized and included in net income Adjustment for net (gains)/losses realized and included in net income Total change in unrealized gains/losses on derivative instruments Total change in unrealized gains/losses on derivative instruments (638) Change in unrealized gains/losses on marketable debt securities, net of tax: Change in fair value of marketable debt securities Adjustment for net (gains)/losses realized and included in net income Total change in unrealized gains/losses on marketable debt securities Total other comprehensive income/(loss) Total comprehensive income \begin{tabular}{|r|r|r|} \hline(694) & 1,202 & 3,802 \\ \hline(273) & (63) & 25 \\ \hline(967) & 1,139 & 3,827 \\ \hline 569 & 42 & 2,781 \\ \hline$95,249 & $57,453 & $58,037 \\ \hline \end{tabular} CONSOLIDATED STATEMENTS OF OPERATIONS - USD (\$) shares in Thousands, $ in Millions Net sales Cost of sales Gross margin \begin{tabular}{|r|r|r|} \hline Sep. 25, 2021 & Sep. 26, 2020 & Sep. 28, 2019 \\ \hline$365,817 & $274,515 & $260,174 \\ \hline 212,981 & 169,559 & 161,782 \\ \hline 152,836 & 104,956 & 98,392 \\ \hline \end{tabular} Operating expenses: Research and development Selling, general and administrative Total operating expenses Operating income Other income/(expense), net Income before provision for income taxes Provision for income taxes Net income Earnings per share: Basic (in dollars per share) Diluted (in dollars per share) Shares used in computing earnings per share: Basic (in shares) Diluted (in shares) Products Net sales Cost of sales Services Net sales Cost of sales Your team has been hired by a multi-national conglomerate to assess two US public companies within the same industry. Your analysis will be used to decide on a major investment in one of the companies. Use the financial statements provided and any other data you wish to collect. For market performance analysis purposes use the stock market data at close of day on the last day of the period for the financial statements. If the stock market was not open on the last day of the period, use the most recent day prior to financial statement date. Required Deliverables: Prepare Common-Size Statements and Financial Ratios: 1. The following ratios for both this year and last year*: a. The amount of working capital. b. The current ratio. c. The acid-test ratio. d. The average collection period. e. The total asset turnover. f. The debt-to-equity ratio. g. The times interest earned ratio. h. The equity multiplier

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 Accounting questions

Question

Why do mergers and acquisitions have such an impact on employees?

Answered: 1 week ago

Question

2. Describe the functions of communication

Answered: 1 week ago