2. Based on the income statement and balance sheets below, please compute the lists of ratio...
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2. Based on the income statement and balance sheets below, please compute the lists of ratio below:- i) ii) iii) iv) v) vi) vii) viii) ix) x) Gross profit margin Operating profit margin Profit before tax margin Profit after tax margin Current ratio ✔ Quick ratio ✔ Times interest earned ration Debt ratio Return on Assets Return on Equity Income Statement Sales Cost of good sold Gross Profit Total operating expenses Operating Income Interest expenses Profit before tax Tax expenses Profit after tax 50,000 (12,000) 38,000 (10,000) 28,000 (4,000) 24,000 (6,000) 18,000 Cash Account receivable Inventory Other current assets Total Current Assets Gross property plant and equipment Accumulated depreciation Net property plant and equipment Long term investment Balance Sheet Total Non Current Assets Total Assets Liabilities Account payable Short term notes payable Total Current Liability Long term debt Total Liabilities Shareholder capital Retained eamings Total Equity Total Liabilities and Equity 20,000 12,000 10,000 2,000 44,000 50,000 (20,000) 30,000 12,000 42,000 86,000, 5000 2500 7500 40500 48000 25000 13000 38000 86000 2. Based on the income statement and balance sheets below, please compute the lists of ratio below:- i) ii) iii) iv) v) vi) vii) viii) ix) x) Gross profit margin Operating profit margin Profit before tax margin Profit after tax margin Current ratio ✔ Quick ratio ✔ Times interest earned ration Debt ratio Return on Assets Return on Equity Income Statement Sales Cost of good sold Gross Profit Total operating expenses Operating Income Interest expenses Profit before tax Tax expenses Profit after tax 50,000 (12,000) 38,000 (10,000) 28,000 (4,000) 24,000 (6,000) 18,000 Cash Account receivable Inventory Other current assets Total Current Assets Gross property plant and equipment Accumulated depreciation Net property plant and equipment Long term investment Balance Sheet Total Non Current Assets Total Assets Liabilities Account payable Short term notes payable Total Current Liability Long term debt Total Liabilities Shareholder capital Retained eamings Total Equity Total Liabilities and Equity 20,000 12,000 10,000 2,000 44,000 50,000 (20,000) 30,000 12,000 42,000 86,000, 5000 2500 7500 40500 48000 25000 13000 38000 86000
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