Question
Ratios 2017 2016 Liquidity Ratios Current Ratio 2.35x Ratio Quick Ratio Ratio 0.80x Efficiency Ratios Inventory Turnover Ratio Ratio 3.50x A/R Turnover Ratio 14.00x Ratio
| Ratios | 2017 | 2016 |
| Liquidity Ratios | ||
| Current Ratio | 2.35x | Ratio |
| Quick Ratio | Ratio | 0.80x |
| Efficiency Ratios | ||
| Inventory Turnover Ratio | Ratio | 3.50x |
| A/R Turnover Ratio | 14.00x | Ratio |
| Average Collection Period | Ratio | 40.00 days |
| Fixed Asset Turnover | 15.00x | Ratio |
| Total Asset Turnover | Ratio | Ratio |
| Leverage Ratios | ||
| Total Debt Ratio | 60.00% | Ratio |
| Long-Term Debt Ratio | Ratio | 35.00% |
| LTD to Total Capitalization | Ratio | Ratio |
| Debt to Equity | Ratio | Ratio |
| Long-Term Debt to Equity | Ratio | Ratio |
| Coverage Ratios | ||
| Times Interest Earned | Ratio | 4.00x |
| Cash Coverage Ratio | 3.00x | Ratio |
| Profitability Ratios | ||
| Gross Profit Margin | Ratio | Ratio |
| Operating Profit Margin | Ratio | Ratio |
| Net Profit Margin | Ratio | 3.00% |
| Return on Total Assets | 4.20% | Ratio |
| Return on Equity | Ratio | 12.00% |
| Return on Common Equity | Ratio | Ratio |
v=
| Income Statement | |||
| For the Year Ended Dec. 31, 2017 | |||
| 2017 | 2016 | ||
| Sales | Ratio | Ratio | |
| Cost of Goods | Ratio | 2,466,000 | |
| Gross Profit | Formula | Formula | |
| G&A Expenses | Formula | 207,000 | |
| Other Expenses | 115,000 | Formula | |
| Depreciation | Ratio | Ratio | |
| EBIT | 173,000 | Ratio | |
| Interest Expense | Formula | 54,000 | |
| EBT | Formula | Formula | |
| Taxes | Formula | Formula | |
| Net Income | 59,500 | Formula | |
| Notes | |||
| Tax Rate | 40% | ||
=Cristal Clear, Inc. Balance Sheet As of Dec. 31, 2017 Assets 2017 2016 Cash and Equivalents 46,000 50,000 Accounts Receivable Ratio Ratio Inventory Formula Ratio Total Current Assets Ratio Formula Plant & Equipment Formula 435,000 Accumulated Depreciation 146,000 Formula Net Fixed Assets Formula Formula Total Assets Ratio 1,490,000 Liabilities and Owners' Equity Accounts Payable Formula 131,000 Short-term Notes Payable 201,000 Formula Other Current Liabilities 121,000 117,000 Total Current Liabilities 480,000 Ratio Long-term Debt Formula Formula Total Liabilities Ratio Formula Common Stock Formula 408,000 Retained Earnings 199,000 Formula Total Shareholder's Equity Formula Ratio Total Liab. and OE Formula Formula
- Using the ratios provided, recreate the financial statements as shown using formulas.
- Complete the financial statements using formulas that refer to existing data to fill in the remaining cells.
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Personal Financial Planning
Authors: Randy Billingsley, Lawrence J. Gitman, Michael D. Joehnk
15th Edition
978-0357438480, 0357438485
