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Ratios Analysis: Hershey The Hershey Company is one of the world's leading producers of chocolates, candies, and confections. It sells chocolates and candies, mints and

Ratios Analysis: Hershey

The Hershey Company is one of the world's leading producers of chocolates, candies, and confections. It sells chocolates and candies, mints and gums, baking ingredients, toppings, and beverages. Hershey's consolidated balance sheets for 20X2 and 20X3 follow.

Hershey: Consolidated Balance SheetsDollar Amounts in Millions20X220X3AssetsCurrent AssetsCash and Equivalents$728.3$1,118.5Receivables461.4477.9Inventories633.3659.5Deferred Income Taxes122.252.5Prepaid Expenses and Other Assets168.3178.9Total Current Assets$2,113.5$2,487.3Property, Plant and Equipment, Net1,674.11,805.3Goodwill588.0576.6Other Intangible Assets, net214.7195.2Other Assets164.5293.0Total Assets$4,754.8$5,357.5Liabilities and Shareholders' EquityCurrent LiabilitiesAccounts Payable$442.0$461.5Accrued Liabilities650.9699.7Accrued Income Taxes2.379.9Short-Term Debt118.2166.0Current Portion of Long-Term Debt257.70.9Total Current Liabilities$1,471.1$1,408.0Long-Term Debt1,531.01,795.1Other Long-Term Liabilities668.7434.1Deferred Income Taxes35.7104.2Total Liabilities$3,706.5$3,741.4Shareholders' EquityCommon Stock359.9359.9Additional Paid-In Capital593.0664.9Retained Earnings5,027.65,454.3Treasury Stock (at cost)(4,558.7)(4,707.7)Accumulated Other Comprehensive Loss(385.1)(166.6)Noncontrolling interests11.611.2Total Shareholders' Equity$1,048.4$1,616.1Total Liabilities and Shareholders' Equity$4,754.8$5,357.5

Additional information for 20X3 is as follows (amounts in millions):

Total credit sales (all on credit)$7,146.1Costs of goods sold3,865.2Net income820.5

Required:

Next LevelCompute the following ratios for 20X3. Provide a brief description of what each ratio reveals about Hershey.

  1. Return on common equity(Round your answer to three decimal places.)
  2. Debt-to-assets(Round your answer to three decimal places.)
  3. Debt-to-equity(Round your answer to two decimal places.)
  4. Current(Round your answer to two decimal places.)
  5. Quick(Round your answer to two decimal places.)
  6. Inventory turnover days (Use 365 days.Round your answer to nearest whole number.)days
  7. Accounts receivable turnover days (Use 365 days.Round your answer to nearest whole number.)days
  8. Accounts payable turnover days (Use 365 days.Round your answer to nearest whole number.)days
  9. Operating cycle (in days) (Use 365 days.Round your answer to nearest whole number.)days
  10. Total asset turnover(Round your answer to two decimal places.)

I just need help answering 1,5,6,7,8,9,10. Ive tried to solve but I don't know exactly what Im messing up on.

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