Answered step by step
Verified Expert Solution
Question
1 Approved Answer
solve the ratios in the schedule in normal formula ( without excel) i have to write the steps in details the 4 i highlited in
solve the ratios in the schedule in normal formula
Following are data from the statements of two companies (Tamimi Markets and Carrefour) selling similar products: Carrefour Tamimi Markets $65,357 45,583 15,101 707 (94) 1,384 $2,488 S408,214 304,657 79,607 2,065 (411) 7,139 $14,335 $18,424 $48,331 26,109 $44,533 $11,327 122,375 $170,706 $55,561 Income Statement Data for 2019 Net Sales Cost of Goods Sold Selling and administrative expense Interest expense Other Income (Expense) Income Tax Expense Net Income Balance Sheets Data (End of 2019) Current Assets NonCurrent Assets Total Assets Current Liabilities Long-term Debt Total stockholders' Equity Total Liabilities and stockholders' Equity Beginning-of-2019 Balances Total Assets Total stockholders' Equity Current Liabilities Total Liabilities Other Data Average Net Accounts Receivable Average Inventory Net Cash Provided by Operating Activities Capital Expenditures Dividends 17,859 15,347 $44,533 44,089 71,056 $170,706 $44,106 13,712 10,512 30,394 $163,429 65,682 54,390 97,747 $7,525 $4,025 6,942 5,881 1,729 496 33,836 26,249 12,184 4.217 Required: Compare the Solvency, Liquidity and Profitability position of the two companies by Calculating current ratio, Account Receivable Turnover, Average Collection Period (In Days) (365 days / Account Receivable Tumover), Inventory Turnover, Days in Inventory Current Cash Debt Coverage (net cash provided by operating activities / average current liability), Profit Margin, Asset Tumover, Return on Assets, Return on Common Stockholder's Equity, Debt to Assets, Times Interest Earned, Cash Debt Coverage (net cash provided by operating activities / average total liability) and free Cash Flow (net cash provided by operating activities - Capital expenditures - cash dividends). Then state which company you think is better in short-term and why (Interpretation) and under the assumption that each company's stock can be purchased at book value, state wbich company's stock you think is better to invest and why (Interpretation). Instructions: 1- Small Introduction about two Companies (Half to One Page) (0.25 Mark) - Need Sources 2- Body - Ratio Analysis (6 Marks) -2.1 Include formulae 2.2 Calculate Ratios in Details 2.3 Fill the table with ratios (Answers of Ratios in Order) and Interpretation Ratio Analysis Formula Tamimi Carrefour Interpretation Markets onNet income Common Preferred Stockholder's dividend Average Equity stockholders equity Debt to Total debts/ Total Return common Assets assets ( without excel) i have to write the steps in details
the 4 i highlited in the photo
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started