ASSIGNMENT 2 BUSINESS FINANCE FIN 3200 10 Points KUIPERS ENTERPRISES 2018 Income Statement is in millions! Sales Cost of goods sold Depreciation EBIT Interest paid Taxable income Taxes (34%) Net income Addition to retained earnings Dividends $9,000 4,500 700 $3,800 600 $3,200 1.099 $2,112 $1.513 2018 679 KUIPERS ENTERPRISES Balance Sheets as of December 31, 2017 and 2018 ($ in millions) Assets 2017 2017 2018 Liabilities and Owners' Equity Current assets Current liabilities Cash $ 404 $ 247 Accounts payable $ 650 Receivables 1,115 1,616 Notes payable Inventory 2,870 4,225 Other Total 4,389 6,088 Total Fixed assets Long-term debt Net plant and equipment -8,452 8,100 Owners' equity Common stock 500 Capital surplus 1.300 Retained earnings 6.397 Total 8,197 Total $12,841 $14,188 Total $12,841 329 3,150 3,400 500 1,300 7,909 9,709 $14,188 0.85 625 9.8 Calculating Financial Ratios. calcnlate the following financial ratios for KUIPERS ETERPRISES for 2018. Becich Mark these ratios (use Ind. Ave) Short-term solvency ratios IND. AVE. a. Current ratio 1.55 b. Quick ratio c. Cash ratio 0.24 Asset utilization ratios d. Total asset turnover St e. Inventory turnover f. Receivables turnover Long-term solvency ratios 0.50 8. Total debt ratio h. Debt-equity ratio i. Equity multiplier j. Times interest earned ratio.. k. Cash coverage ratio Profitability ratios Profit margin m. Return on assets n. Return on equity 1.00 2.00 MORE 831 SCAPES