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Use the following ratios to compare the performance for year-end January 31, 2020 and January 31, 2019. Please write a brief statement describing the financial

Use the following ratios to compare the performance for year-end January 31, 2020 and January 31, 2019. Please write a brief statement describing the financial health of Zoom, using the ratios and their meaning as justification.

  1. a) The debt ratio

  2. b) Profit margin

  3. c) Total asset turnover ratio

  4. d) Inventory turnover ratio

  5. e) Days sales outstanding

  6. f) Current ratio

  7. g) Quick ratioimage text in transcribedimage text in transcribed

Income Statement Al numbers in thousands From Yahoo Financial June 19, 2020 1/31/2019 1/31/2018 1/31/2017 Breakdown 1/31/2020 > Total Revenue 622.658 330.517 151.478 60.817 Cost of Revenue 115.396 61.001 30.780 12.472 Gross Profit 507 262 269,516 120.698 48,345 > Operating Expense 494,566 263,349 125.531 48,345 Operating Income 12,696 6.167 -4.833 0 > Net Non Operating Interest Inc... 13.666 1,837 1.315 98 > Other Income Expense 345 74 60 Pretax Income 26.362 8,349 -3.518 158 Tax Provision 1.057 765 304 172 > Net Income Common Stockhold... 21.750 7.584 -8.227 -14 Average Dilution Earnings 0 0 Diluted NI Available to Com Stockh... 21.750 7,584 -8.227 -14 Basic EPS 0 0 0 0 Diluted EPS 0 0 0 0 Basic Average Shares 233.641 237.282 237.282 237.282 Diluted Average Shares 254.298 268.805 268.805 268.805 Total Operating Income as Reported 12.696 6.167 -4.833 0 Total Expenses 609.962 324,350 156.311 60.817 Net Income from Continuing & Dis... 25.305 7.584 -3.822 -14 Normalized Income 25,305 7,584 -3.822 -14 Net Interest Income 13,666 1,837 1.315 98 EBIT 12,696 6.167 -4.833 0 EBITDA Reconciled Cost of Revenue 115.396 61,001 30.780 12.472 Reconciled Depreciation 16,449 7.008 2.786 1.219 Net Income from Continuing Oper... 25.305 7.584 -3,822 -14 Normalized EBITDA 29.145 13,175 -2,047 1.219 Tax Rate for Calcs 0 0 0 0 Tax Effect of Unusual Items 0 0 0 0 Balance Sheet All numbers in thousands Breakdown 1/31/2020 1/31/2019 1/31/2018 Assets 1.289.845 354.565 215.019 Current Assets 1.095,522 276,719 183.162 Cash 855.194 176.401 139.202 Cash And Cash Equivalents 283.134 63.624 36.146 Other Short Term Investme. 572.060 112.777 103.056 Total Cash 855.194 176.401 139.202 Net Receivables 120.435 63.613 24.526 Other Current Assets 4.141 Total Current Assets 1.095,522 276.719 183.162 Non-current assets 194323 77.846 31.857 Property, plant and equ 125.746 Gross property, plant and e. 153.002 48,743 17.732 Accumulated Depreciation -27.256 -11,468 -4.700 Net property, plant and e... 125.746 37.275 13.032 Equity and other investments 3.000 Other long-term assets 10.321 11.508 2.127 Total non-current assets 194.323 77.846 31.857 Total Assets 1.289.845 354.565 215.019 Liabilities and stockholders' eq... 1.289.845 354.565 215.019 Liabilities 455.902 187.233 241.690 Current Liabilities 333.830 152.341 68.529 Accounts Payable 1,596 4.963 2.723 Accrued liabilities 17,475 13.596 3.920 Deferred revenues 209.542 115.122 50,351 Other Current Liabilities 11.523 5.473 1.848 Total Current Liabilities 333.830 152.341 68.529 Non-current liabilities 122.072 34,892 173.161 Deferred revenues 20.994 10,651 3.911 Other long-term liabilities 2.329 24,241 539 Total non-current liabilities 122.072 34,892 173.161 Total Liabilities 455.902 187.233 241.690 Stockholders' Equity 833.943 167,332 -26,671 Common Stock 277 242 80 Retained Eamings 152 -25.153 -32.737 Accumulated other comprehe... 809 -135 -531 Total stockholders' equity 833.943 167.332 -26,671 Total liabilities and stockholde... 1,289,845 354.565 215.019

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