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Some recent financial statements for Smolira Golf Corp. follow. SMOLIRA GOLF 2011 and 2012 Balance Sheets Assets Liabilities and Owners Equity 2011 2012 2011 2012

Some recent financial statements for Smolira Golf Corp. follow.

SMOLIRA GOLF 2011 and 2012 Balance Sheets

Assets

Liabilities and Owners Equity

2011

2012

2011

2012

Current assets

Current liabilities

Cash

$

24,046

$

24,255

Accounts payable

$

23,184

$

27,420

Accounts receivable

12,448

15,235

Notes payable

12,000

10,800

Inventory

25,392

27,155

Other

11,571

15,553

Total

$

61,886

$

66,645

Total

$

46,755

$

53,773

Long-term debt

$

80,000

$

95,000

Owners equity

Common stock and paid-in surplus

$

40,000

$

40,000

Accumulated retained earnings

219,826

243,606

Fixed assets

Net plant and equipment

$

324,695

$

365,734

Total

$

259,826

$

283,606

Total assets

$

386,581

$

432,379

Total liabilities and owners equity

$

386,581

$

432,379

SMOLIRA GOLF, INC. 2012 Income Statement

Sales

$

366,996

Cost of goods sold

253,122

Depreciation

32,220

Earnings before interest and taxes

$

81,654

Interest paid

14,300

Taxable income

$

67,354

Taxes (35%)

23,574

Net income

$

43,780

Dividends

$

20,000

Retained earnings

23,780

Find the following financial ratios for Smolira Golf Corp. (use year-end figures rather than average values where appropriate): (Round your answers to 2 decimal places. (e.g., 32.16))

Short-term solvency ratios:

2011

2012

a.

Current ratio

times

times

b.

Quick ratio

times

times

c.

Cash ratio

times

times

Asset utilization ratios:

d.

Total asset turnover

times

e.

Inventory turnover

times

f.

Receivables turnover

times

Long-term solvency ratios:

2011

2012

g.

Total debt ratio

times

times

h.

Debtequity ratio

times

times

i.

Equity multiplier

times

times

j.

Times interest earned

times

k.

Cash coverage ratio

times

Profitability ratios:

I.

Profit margin

%

m.

Return on assets

%

n.

Return on equity

%

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