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Using the South Plains Chemical Company figures, compute the following ratios. South Plains Chemical Company Balance Sheet ($ thousands) Cash Accounts receivable Inventory Current assets
Using the South Plains Chemical Company figures, compute the following ratios.
South Plains Chemical Company Balance Sheet ($ thousands) Cash Accounts receivable Inventory Current assets Fixed and other assets 8,750 Total liabilities and Total assets 1,250 S 8,000 Current liabilities 12,000 Long-term debt $21,20 Stockholders' equity $12,000 $10,000 $ 8,000 30,000 stockholders' equity $30,000 South Plains Chemical Company Income Statement ($ thousands) Sales Cost of goods sold Operating expenses Operating profit Interest expense Taxes Net profit Dividends paid to common stockholders $50,000 $25,000 $15,000 $10,000 2,500 $ 2.500 S 5,000 ($ in thousands) Number of common shares outstanding Recent market price of the common stock $1,250 5 million $ 25 a. Using the South Plains Chemical Company figures, compute the following ratios Latest Industry Latest Industry Averages Liquidity a. Net working capital b. Current ratio Activity c. Receivables turnover d. Inventory turnover e. Total asset turnover Leverage f. Debt-equity ratio g.Times interest earned Profitability h. Net profit margin i. Return on assets j. ROE Common-Stock Ratios k. Earnings per share I. Price-to-earnings ratio m. Dividends per share n. Dividend yield o. Payout ratio p. Book value per share q. Price-to-book-value ratio 8.5% 22.5% 32.2% N/A 1.95 5.95 4.50 2.65 $2.00 20.0 $1.00 0.45 2.5% 6.75 50.0% $6.25 6.4Step by Step Solution
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