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Questions 14 to 17 Use the following financial statement information to compute the various financial ratios indicated in the green box. For ROE and ROIC
Questions 14 to 17 | |||||||||
Use the following financial statement information to compute the various financial ratios indicated in the green box. For ROE and ROIC enter your answer as a percent without the %; round all answers to two decimals. | |||||||||
Assumptions | |||||||||
Corporate tax rate | 21% | ||||||||
Income Statement | Question 14 | ROE | |||||||
Sales | $ 1,286.00 | Question 15 | ROIC | ||||||
Cost of goods sold | $ 733.02 | Question 16 | Debt-to-equity | ||||||
Gross margin | $ 552.98 | DSI | |||||||
Sales, general, and administrative expense | $ 94.01 | DSO | |||||||
Depreciation expense | $ 77.42 | DPO | |||||||
EBIT | $ 381.56 | Question 17 | CCC | ||||||
Interest Expense | $ 118.28 | ||||||||
EBT | $ 263.27 | ||||||||
Taxes | $ 55.29 | ||||||||
Earnings | $ 207.99 | ||||||||
Balance Sheet | |||||||||
Cash | $ 398.66 | Accounts payable | $ 540.12 | ||||||
Accounts receivable | $ 501.54 | Current portion of Long-term-debt | $ 411.52 | ||||||
Inventory | $ 437.24 | Short-term debt | $ 552.98 | ||||||
Total Current Assets | $ 1,337.44 | Total current liabilities | $ 1,504.62 | ||||||
Long-term debt | $ 334.36 | ||||||||
Property, plant, and equipment | $ 951.64 | Total liabilities | $ 1,838.98 | ||||||
Accumulated depreciation | $ 295.01 | ||||||||
Net property, plant and equipment | $ 656.63 | Common stock at par value | $ 411.52 | ||||||
Additional paid in capital | $ 372.94 | ||||||||
Other assets | $ 729.37 | Retained earnings | $ 100.00 | ||||||
Total shareholders' equity | $ 884.46 | ||||||||
Total assets | $ 2,723.44 | Total liabilities and shareholders' equity | $ 2,723.44 |
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