Refer to the 10-K for Johnson & Johnson. Required: 1. What does the company report for the following accounts for the most current fiscal year: Enter your answer in millions. a. Cash $ 13,985 b. Short-term investments (or marketable securities) $ 11,200 c. Accounts receivable $ 13,576 d. Inventory $ 9,344 e. Other current assets $ 6,562 x f. Accounts payable $ 9,505 g. Other current liabilities 11,944 X h. Cash flow from operations $ 76,116 X 2. The company projects the following to occur in the next fiscal year: Accounts payable will decrease by 14%. Other current liabilities are expected to grow by 20%. Cash flow from operations is expected to decrease by 6%. Assume all other items remain unchanged from the prior year. Provide the next year's forecasted balances for the following accounts and cash flow from operations. Round your answer to the nearest million. a. Cash b. Short-term investments (or marketable securities) $ c. Accounts receivable $ d. Inventory e. Other current assets f. Accounts payable $ g. Other current liabilities $ h. Cash flow from operations 3. Compute the forecasted current ratio for the next fiscal year. Round your answer to two decimal places. 4. Compute the forecasted quick ratio for the next fiscal year. Round your answer to two decimal places. 5. Compute the forecasted cash ratio for the next fiscal year. Round your answer to two decimal places. 6. Compute the forecasted operating cash flow ratio for the next fiscal year. Round your answer to two decimal places. JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS At January 3, 2021 and December 29, 2019 (Dollars in Millions Except Share and Per Share Amounts) (Note 1) 2020 2019 13,985 11,200 13,576 9,344 3,132 Assets Current assets Cash and cash equivalents (Notes 1 and 2) Marketable securities (Notes 1 and 2) Accounts receivable trade, less allowances for doubtful accounts $293 (2019, $226) Inventories (Notes 1 and 3) Prepaid expenses and other receivables Assets held for sale (Note 18) Total current assets Property, plant and equipment, net (Notes 1 and 4) Intangible assets, net (Notes 1 and 5) Goodwill (Notes 1 and 5) Deferred taxes on income (Note 8) Other assets Total assets Liabilities and Shareholders' Equity Current liabilities Loans and notes payable (Note 7) Accounts payable Accrued liabilities Accrued rebates, returns and promotions Accrued compensation and employee related obligations Accrued taxes on income (Note 8) Total current liabilities 51,237 18,766 53,402 36,393 8,534 6,562 174,894 17,305 1,982 14,481 9,020 2,392 94 45,274 17,658 47,643 33,639 7,819 5,695 157,728 $ $ 2,631 9,505 13,968 11,513 3,484 1,392 42,493 1,202 8,544 9,715 10,883 3,354 2,266 35,964 Total current liabilities Long-term debt (Note 7) Deferred taxes on income (Note 8) Employee related obligations (Notes 9 and 10) Long-term taxes payable (Note 1) Other liabilities Total liabilities Commitments and Contingencies (Note 19) Shareholders' equity Preferred stock without par value (authorized and unissued 2,000,000 shares) Common stock par value $1.00 per share (Note 12) (authorized 4,320,000,000 shares; issued 3,119,843,000 shares) Accumulated other comprehensive income (loss) (Note 13) Retained earnings 42,493 32,635 7,214 10,771 6,559 11,944 111,616 35,964 26,494 5,958 10,663 7,444 11,734 98,257 3,120 (15,242) 113,890 101,768 38,490 63,278 174,894 3,120 (15,891) 110,659 97,888 38,417 59,471 Less: common stock held in treasury, at cost (Note 12) (487,331,000 shares and 487,336,000 shares) Total shareholders' equity Total liabilities and shareholders' equity $ 157,728 See Notes to Consolidated Financial Statements
