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QUESTION 27 SECTION B - QUESTION 4: Based on the financial statements for BISON Corp., Calculate five ratios; one from each group. State the ratio

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QUESTION 27 SECTION B - QUESTION 4: Based on the financial statements for BISON Corp., Calculate five ratios; one from each group. State the ratio you have calculated in the space below. Show your formulas, calculations, and result (10 points) Compare each calculated ratio with the corresponding industry average (see table below) to determine whether the firm's indicated performance is 'good' or 'bad and provide the justification for your determination. (10points) Use the following Financial Statements and Industry Averages to answer each part of this Question 4: (NOTE: If you do not see the statements and table below, click the links to access a file of the same: Link in Google - htts://drive.google.com/file/dxtiyyatEmOZYzaSPXE WAK24.11. Lewuss=sharing Link in Lumin PDF hinsidan.lumined.com/view/556799ab45600129e17b4 BISON Corporation Balance Sheet as of December 31, 2013 is in millions) Liabilities and Owners' Equity Current Assets Current Liabilities Cash $1.500 Accounts payable $1,200 Accounts rec 2.500 Notes pavable 2.600 Inventory 1.400 Total current assets 55,400 Total current liabilities $3,800 Assets Fixed Assets Long-term debit 5.000 Net foedas 19.000 Owners' Equity Common stock Retained earnings Total equity Total abilities and equity 6,000 8.600 $14,600 +24400 Total assets $24.400 Total assets $24.400 Total equity Total abilities and equity $14,600 SCO BISON Corporation 2013 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings Before interest and taxes Interest paid Taxable income Taxes (30%) Net income Dividends paid $800 Addition to retained earnings $740 No of shares outstanding Stock price $15,000 9,500 2,500 $3,000 800 $2,200 660 $1,540 1,200 $12.00 Current ratio Quick ratio Total asset turnover Total debt ratio Industry averages 1.89 times Inventory turnover 1.05 Net profit margin 1.28 Return on asset 61 Price earnings ratio 1.28 6.47% 13.2196 2.26 Stock price $12.00 Current ratio Quick ratio Total asset turnover Total debt ratio Times interest earned Industry averages 1.89 times Inventory turnover 1.05 Net profit margin 1.28 Return on asset ,61 Price earnings ratio 9.83 Market to book value 1.28 6.47% 13.21% 2.26 2.12 RIGHT CLICK on the link in the boxes below to open the file in Google OR Lumin pdf: LINKS TO FORMULA SHEET: LINKS TO FACTOR TABLES: Factor Tables in Google Formula Shoot in Google Formula Sheet inminen Eactor Tables in LuminPDE BOTH LINKS POINT TO THE SAME FORMULA SHEET OR FACTOR TABLES, RESPECTIVELY. SHOW YOUR WORK WITH'FORMULAS, CALCULATIONS, AND RESULT IN THE SPACE BELOW. ROUND YOUR ANSWER TO TWO DECIMAL PLACES Group A ratios: 1. Calculate ONE ratio. in this group (2.points): a Current Ratio OR D Quick Ratio Il explain the result (2 points) is the performance of that ratio, compared to the industry. Good or Bad? Why? AND O Quia 1.Calculate ONE ratio in this group 12 points): Current Ratio OR b. Quick Ratio Il Explain the result (2 points): Is the performance of that ratio, compared to the industry, Good or Bad? Why? AND Group B ratios: 1. Calculate ONE ratio in this group.(2.points); Total Debt Ratio OR d Times Interest Earned Ratio Colla IL Explain the result (2. points); Is the performance of that ratio, compared to the industry. Good or Bad? Why? AND Group C ratios: Calculate ONE ratio in this group (2.points): Inventory Turnover OR 1 Total Asset Turnover IL Explain the result (2 points): Is the performance of that ratio compared to the industry Good or Bad? Why? ME U rano, compared to the industry. Good or Bad? . Why? AND Group E Ratios: 1. Calculate ONE ratio in this group.(2.points); Price-to-Earnings Ratio OR k Market-to-Book Value Ratio IL Explain the result. (2.points); Is the performance of that ratio, compared to the industry, Good or Bad? Why? . E.T. TTTT Paragraph Arial XOOQESES 3112pt) TT

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