UBER Rideshare Corporation: Balance Sheets as of December 31 2019 2018 $65,000 Cash Accounts receivable $72,000 339,000 328,000 813,000 Inventories Total current assets 894,000 $1,305,000 $1,206,000 Land and building 238,000 271,000 Machinery 132,000 133,000 61,000 57,000 Other fixed assets Total assets $1,736,000 $1,667,000 Accounts payable $80,000 45,010 $72,708 40,880 Accrued liabilities Notes payable Total current liabilities 476,990 457,912 $602,000 $571,500 Long-term debt 258,898 304,290 575,000 Common stock 575,000 261,602 Retained earnings Total liabilities and equity 254,710 $1,736,000 $1,667,000 UBER Rideshare Corporation: Income Statements for Years Ending December 31 2019 2018 Sales Cost of goods sold Gross operating profit General administrative and selling expenses Depreciation EBIT $4,240,000 3,080,000 $1,160,000 303,320 159,000 $697,680 67,000 $3,635,000 2,980,000 $655,000 297,550 154,500 $202,950 43,000 $159,950 42,066.85 $117,883 Interest Earnings before taxes (EBT) Taxes (26.3%) Net income $630,680 165,868.84 $464,811 Mid Term BUS-260 1 UBER Per-Share Data - EPS Cash dividends 2019 $ 4.51 $0.75 2018 $ 1.14 $ 0.55 $29.32 $23.57 Market price (average) PIE ratio 6.50X 20.59% Number of shares outstanding 103,000 103,000 Rideshare Industry's Financial Ratios (UBER, LYFT) Period 2018 2.7x Current Ratio Inventory turnover 7.Ox Days sales outstanding 32.0 days Fixed assets turnover 13.OX Total assets turnover 2.6X Return on assets 9.1% Return on equity 18.2% Return on invested capital 14.5% Profit margin 3.5% Debt-to-capital ratio 50.0% 6.OX P/E ratio M/B ratio 1.5 EV/EBITDA ratio 6.0 (1) UBER's 2018 and 2019 financial statements are listed above, along with some industry average ratios. a. What was the Net Operation Working Capital for 2019 and 2018? b. What is UBER's free cash flow? c. Construct Citibank's 2019 Statement of Stockholder's equity? d. At this time how large a check could be written without it bouncing? e. How much money must be paid to current creditors within the next year? Mid Term BUS-260 2