Problem 14-15 Comprehensive Ratio Analysis (L014-2, LO14-3, LO14-4, LO14-5, LO14-6] (The following information applies to the questions displayed below) You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company's financial statements, including comparing Lydex's performance to its major competitors. The company's financial statements for the last two years are as follows: Last Year Lydex Company Comparative Balance Sheet This Year Assets Current assets: Cash $ 920,000 Marketable securities Accounts receivable, net 2,540,000 Inventory 3,560,000 Prepaid expenses 250,000 Total current assets 7,270,000 Plant and equipment, net 9,440, 000 Total assets $16,710,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 3,970,000 Note payable, 10% 3,640,000 Total liabilities 7,610,000 $ 1,160,000 300,000 1,640,000 2,100,000 190,000 5,390,000 9,010,000 $14,400,000 $2,900, eee 3,040, eee 5,940,000 2 3 4 of 6 ! na here to search $ 3,970,000 3,640,000 7,610,000 $2,900,000 3,040,000 5,940,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 10% Total liabilities Stockholders' equity: Common stock, $75 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 7,500,000 1,600,000 9,100,000 $16,710,000 7,500,000 960,000 8,460,000 $14,400,000 Lydex Company Comparative Income Statement and Reconciliation This Year Last Year Sales (all on account) $15,820,000 $13,180,000 Cost of goods sold 12,656,000 9,885,000 Gross margin 3,164,000 3,295,000 Selling and administrative expenses 1,400,000 1,588,000 Net operating income 1,764,000 1,707,000 Interest expense 364,000 304,000 Net income before taxes 1,400,000 1,403,000 Income taxes (30%) 420,000 420,900 Net income 980,000 982,100 Common dividends 340,000 491,050 Next > en La Problem 14-15 Comprehensive Ratio Analysis (L014-2, LO14-3, LO14-4, LO14-5, LO14-6] (The following information applies to the questions displayed below) You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company's financial statements, including comparing Lydex's performance to its major competitors. The company's financial statements for the last two years are as follows: Last Year Lydex Company Comparative Balance Sheet This Year Assets Current assets: Cash $ 920,000 Marketable securities Accounts receivable, net 2,540,000 Inventory 3,560,000 Prepaid expenses 250,000 Total current assets 7,270,000 Plant and equipment, net 9,440, 000 Total assets $16,710,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 3,970,000 Note payable, 10% 3,640,000 Total liabilities 7,610,000 $ 1,160,000 300,000 1,640,000 2,100,000 190,000 5,390,000 9,010,000 $14,400,000 $2,900, eee 3,040, eee 5,940,000 2 3 4 of 6 ! na here to search $ 3,970,000 3,640,000 7,610,000 $2,900,000 3,040,000 5,940,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 10% Total liabilities Stockholders' equity: Common stock, $75 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 7,500,000 1,600,000 9,100,000 $16,710,000 7,500,000 960,000 8,460,000 $14,400,000 Lydex Company Comparative Income Statement and Reconciliation This Year Last Year Sales (all on account) $15,820,000 $13,180,000 Cost of goods sold 12,656,000 9,885,000 Gross margin 3,164,000 3,295,000 Selling and administrative expenses 1,400,000 1,588,000 Net operating income 1,764,000 1,707,000 Interest expense 364,000 304,000 Net income before taxes 1,400,000 1,403,000 Income taxes (30%) 420,000 420,900 Net income 980,000 982,100 Common dividends 340,000 491,050 Next > en La