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The Cherry Corporation, a merchandising business, has been in business for several years. Following are selected data for the Cherry Corporation: Additional Information: Total Assets
The Cherry Corporation, a merchandising business, has been in business for several years. Following are selected data for the Cherry Corporation:
Additional Information: Total Assets at x was $; Total stockholders equity at x was $
Required:
a Compute the following ratios for both x and x:
Current ratio
Debt Ratio
Net Profit Margin Ratio
Gross Profit Ratio
Return on Equity
Dividend Yield Ratio
Use the following formulas for this problem:
Current ratio Current AssetsCurrent Liabilities
Debt to Equity Ratio Average Total LiabilitiesAverage Stockholders' Equity
Net Profit Margin Ratio Net IncomeNet Sales
Gross Profit Ratio Gross ProfitNet Sales
Return on Equity Net IncomeAverage Stockholders' Equity
Dividend Yield Ratio Dividends per ShareMarket Price per Share
b Enter the ratios calculated in parts a above in the table on the Excel Template
and comment on the companys overall performance and trends from x to x
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