Q

Questions E-J Please.

Grounds Keeper

Consolidated Statements of Operations

(Dollars in thousands except per share data)

2012

2011

Net sales

3,889,426

2,642,390

Cost of sales

2,589,799

1,746,274

Gross profit

1,299,627

896,116

Selling and operating expenses

481,493

348,696

General and administrative expenses

219,010

187,016

Operating income

599,124

360,404

Interest expense

22,983

57,657

Income before income taxes

576,141

302,747

Income tax expense

212,641

101,699

Net Income

363,500

201,048

Basic income per share:

Average shares outstanding

154,933,948

146,214,860

Earnings per common share

2.35

1.38

Use the attached balance sheet and income statement to compute the required financial ratios for 2012. Use 360 for the number of days in a year. The computations for 2011 are already done for you. a. Current ratio b. Quick ratio c. Inventor turnover d. Average Collection Period e. Total asset turnover f. Net profit margin_ g. Operating profit margin h. Times Interest Earned i. Debt/Net Worth Ratio j. Return on Equity ratio 2012 2011 Assets Current assets: 78,240 44,395 Cash and cash equivalents Receivables Inventories 340,062 399,891 844.737 736,677 Total current assets 1,322,868 1.121,133 1,244,384 889,613 Fixed assets, net Other long-term assets Total assets 1,187,141 1,048,537 3,615,789 3,197,887 319,465 309,222 201,017 145,240 9.748 6.669 519987 471374 834574 814298 Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Stockholders' equity: Common stock, $0.10 par value: Additional paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 1,354,561 1,285,672 15,268 15,447 1,499,616 1,464,560 781400 2,261,228 397152 1,912,215 3,615,789 3.197,887