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Problem 11-5B (Algo) Calculate and analyze ratios (LO11-6) International Genetic Technologies (InGen) and The Resources Development Association (RDA) are companies involved in cutting- edge
Problem 11-5B (Algo) Calculate and analyze ratios (LO11-6) International Genetic Technologies (InGen) and The Resources Development Association (RDA) are companies involved in cutting- edge genetics research. Selected financial data for (InGen) and (RDA) are provided below: ($ in millions) Net sales InGen $142,245 RDA $116,916 Net income 8,535 17,070 Operating cash flows 15,900 18,581 Total assets, beginning. 175,400 138,452 Total assets, ending 136,987 140,600 Required: 1. Calculate the return on assets for both companies. 2. Calculate the cash return on assets for both companies. 3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. 4. Which company has the more favorable ratios? (For all requirements, round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the return on assets for both companies. 3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. 4. Which company has the more favorable ratios? (For all requirements, round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be er as 10.1).) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the return on assets for both companies. InGen RDA ($ in millions) Return on Assets Numerator/Denominator Amounts Required 1 Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the cash return on assets for both companies. InGen RDA ($ in millions) Cash Return on Assets Numerator/Denominator Amounts Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. InGen RDA InGen RDA ($ in millions) Cash Flow to Sales Numerator/Denominator Amounts Asset Turnover i Numerator/Denominator Amounts < Required 2 Required 4 > times times as 10.1).) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Which company has the more favorable ratios? Which company has the more favorable ratios? < Required 3 Required & >
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