Evaluate the company International Business Machine Corp. (IBM) for the years 2019 and 2018. i) Calculate the
Question:
"Evaluate the company International Business Machine Corp. (IBM) for the years 2019 and 2018."
i) Calculate the liquidity, leverage, turnover, profitability, and market value ratios for the most recent two years (check the fiscal year and month.). In total, you should calculate 20 (ratios)x 2 (years) = 40 ratios. Please also provide the formulas and the numbers you use to calculate each ratio. ***Note*** To calculate market value ratios, you will need the number of shares outstanding for that year. On the income statements, you will see the number of weighted average shares outstanding in two versions, basic and diluted. Please use the basic shares.
ste X Cut Copy Format Painter V Cost of revenue Gross profit Calibri B BIU H Basic Diluted EBITDA Operating expenses Research and development o Clipboard POSSIBLE DATA LOSS Some features might be lost if you save this workbook i fx Sales, General and administrative Other operating expenses Total operating expenses Font C D E A INTERNATIONAL BUSINESS MACHINES CORP (IBM) INCOM Fiscal year ends in December. USI 2018-12 2019-12 Revenue IBM Income Statement 11 Type here to search v Operating income Interest Expense Other income (expense) Income before taxes Provision for income taxes Net income from continuing oper Net income from discontinuing of Net income Net income available to common Earnings per share Basic Diluted Weighted average shares outstanding V A A 79590 42655 36935 5379 18863 -591 23651 13284 723 -1219 11342 2619 8723 5 8728 8728 v 9.57 9.52 == 912 916 16545 77147 40659 36488 10.63 10.56 887 893 17569 MAHIRAIING ONAL BUSINESS MACHINES CORP (IBM) BALA Paste Fiscal year ends in December, US 2018-12 2019-12 O 2 3 Assets 4 Current assets 5 Cash 6 Cash and cash equivalents 7 Short-term investments 8 Total cash 9 Receivables 10 Inventories 11 Prepaid expenses 12 Other current assets 13 Total current assets 14 Non-current assets 15 Property, plant and equipment 16 Gross property, plant and equip 17 Accumulated Depreciation 18 Net property, plant and equipm 19 Equity and other investments 20 Goodwill 5989 19754 114 25857 10631 31 Capital leases 1344 879 10166 731 9435 -4 9431 9431 21 Intangible assets 22 Deferred income taxes 23 Prepaid pension benefit 24 Other long-term assets 25 Total non-current assets 26 Total assets 27 Liabilities and stockholders' equity 28 Liabilities 29 Current liabilities 30 Short-term debt 32 Accounts payable 33 Taxes payable 34 Accrued liabilities 35 Deferred revenues 36 Other current liabilities 37 Total current liabilities 38 Non-current liabilities 39 Long-term debt 40 Capital leases 11 Deferred taxes liabilities 12 Accrued liabilities 13 Deferred revenues 14 Pensions and other benefits 15 Minority interest 16 Other long-term liabilities 7 Total non-current liabilities 8 Total liabilities 9 Stockholders' equity 11379 618 Ready 11997 7432 1682 2378 25657 49146 32461 -21668 10793 226 36265 3088 5216 4929 13720 74237 123383 10207 8797 1380 6558 4896 3046 2839 3941 4357 11165 12026 3310 3406 38227 37701 35605 3696 320 3445 18382 134 6777 68359 106586 8172 696 8868 7870 1619 2101 17962 38420 0 Common stock 1 Retained earnings 2 Treasury stock 3 Accumulated other comprehens 4 Total stockholders' equity 5 Total liabilities and stockholders IBM Balance Sheet 37023 -22018 15005 222 58222 15236 5182 7118 12781 113766 152186 54102 3879 5230 299 3851 18663 144 7476 93644 131345 55151 55895 159206 162954 -168071 -169413 -29490 -28595 16796 20841 123382 152186 15 LE Copy Format Painter Clipboard. Font i POSSIBLE DATA LOSS Some features might be lo fx E A D INTERNATIONAL BUSINESS MACHINES CORP (IBM) Stater Fiscal year ends in December. USD 2018-12 2019-12 Cash Flows From Operating Activities Net income B X Depreciation & amortization Deferred income taxes Stock based compensation Change in working capital Inventory 0 Accounts payable 1 Other working capital eady C 9 Sales/Maturities of investments 0 Purchases of intangibles 5 Debt repayment 6 Common stock issued 2 Other non-cash items 3 Net cash provided by operating act 4 Cash Flows From Investing Activities 5 Investments in property, plant, and 6 Property, plant, and equipment re 7 Acquisitions, net 8 Purchases of investments BI Uv H 1 Other investing activities 2 Net cash used for investing activiti 3 Cash Flows From Financing Activities 4 Debt issued 7 Common stock repurchased 8 Dividend paid 9 Other financing activities 0 Net cash provided by (used for) fin 1 Effect of exchange rate changes 2 Net change in cash 3 Cash at beginning of period 4 Cash at end of period 5 Free Cash Flow 5 Operating cash flow 7 Capital expenditure B Free cash flow 9 IBM Cash Flow 8728 4480 853 510 554 -127 126 555 122 15247 -3395 248 -139 -7041 6487 -569 -504 -4913 6891 -8533 -4614 -5666 1453 -10469 -495 -630 12234 11604 15247 -3964 11283 Type here to search 9431 6059 -1527 679 1225 67 -503 1661 -1097 14770 -2286 537 -31554 -3693 3961 -621 6720 -26936 31825 -12944 -1633 -5707 -2499 9042 -167 -3291 11604 8313 14770 -2907 11863 ste X Cut Copy Format Painter V Cost of revenue Gross profit Calibri B BIU H Basic Diluted EBITDA Operating expenses Research and development o Clipboard POSSIBLE DATA LOSS Some features might be lost if you save this workbook i fx Sales, General and administrative Other operating expenses Total operating expenses Font C D E A INTERNATIONAL BUSINESS MACHINES CORP (IBM) INCOM Fiscal year ends in December. USI 2018-12 2019-12 Revenue IBM Income Statement 11 Type here to search v Operating income Interest Expense Other income (expense) Income before taxes Provision for income taxes Net income from continuing oper Net income from discontinuing of Net income Net income available to common Earnings per share Basic Diluted Weighted average shares outstanding V A A 79590 42655 36935 5379 18863 -591 23651 13284 723 -1219 11342 2619 8723 5 8728 8728 v 9.57 9.52 == 912 916 16545 77147 40659 36488 10.63 10.56 887 893 17569 MAHIRAIING ONAL BUSINESS MACHINES CORP (IBM) BALA Paste Fiscal year ends in December, US 2018-12 2019-12 O 2 3 Assets 4 Current assets 5 Cash 6 Cash and cash equivalents 7 Short-term investments 8 Total cash 9 Receivables 10 Inventories 11 Prepaid expenses 12 Other current assets 13 Total current assets 14 Non-current assets 15 Property, plant and equipment 16 Gross property, plant and equip 17 Accumulated Depreciation 18 Net property, plant and equipm 19 Equity and other investments 20 Goodwill 5989 19754 114 25857 10631 31 Capital leases 1344 879 10166 731 9435 -4 9431 9431 21 Intangible assets 22 Deferred income taxes 23 Prepaid pension benefit 24 Other long-term assets 25 Total non-current assets 26 Total assets 27 Liabilities and stockholders' equity 28 Liabilities 29 Current liabilities 30 Short-term debt 32 Accounts payable 33 Taxes payable 34 Accrued liabilities 35 Deferred revenues 36 Other current liabilities 37 Total current liabilities 38 Non-current liabilities 39 Long-term debt 40 Capital leases 11 Deferred taxes liabilities 12 Accrued liabilities 13 Deferred revenues 14 Pensions and other benefits 15 Minority interest 16 Other long-term liabilities 7 Total non-current liabilities 8 Total liabilities 9 Stockholders' equity 11379 618 Ready 11997 7432 1682 2378 25657 49146 32461 -21668 10793 226 36265 3088 5216 4929 13720 74237 123383 10207 8797 1380 6558 4896 3046 2839 3941 4357 11165 12026 3310 3406 38227 37701 35605 3696 320 3445 18382 134 6777 68359 106586 8172 696 8868 7870 1619 2101 17962 38420 0 Common stock 1 Retained earnings 2 Treasury stock 3 Accumulated other comprehens 4 Total stockholders' equity 5 Total liabilities and stockholders IBM Balance Sheet 37023 -22018 15005 222 58222 15236 5182 7118 12781 113766 152186 54102 3879 5230 299 3851 18663 144 7476 93644 131345 55151 55895 159206 162954 -168071 -169413 -29490 -28595 16796 20841 123382 152186 15 LE Copy Format Painter Clipboard. Font i POSSIBLE DATA LOSS Some features might be lo fx E A D INTERNATIONAL BUSINESS MACHINES CORP (IBM) Stater Fiscal year ends in December. USD 2018-12 2019-12 Cash Flows From Operating Activities Net income B X Depreciation & amortization Deferred income taxes Stock based compensation Change in working capital Inventory 0 Accounts payable 1 Other working capital eady C 9 Sales/Maturities of investments 0 Purchases of intangibles 5 Debt repayment 6 Common stock issued 2 Other non-cash items 3 Net cash provided by operating act 4 Cash Flows From Investing Activities 5 Investments in property, plant, and 6 Property, plant, and equipment re 7 Acquisitions, net 8 Purchases of investments BI Uv H 1 Other investing activities 2 Net cash used for investing activiti 3 Cash Flows From Financing Activities 4 Debt issued 7 Common stock repurchased 8 Dividend paid 9 Other financing activities 0 Net cash provided by (used for) fin 1 Effect of exchange rate changes 2 Net change in cash 3 Cash at beginning of period 4 Cash at end of period 5 Free Cash Flow 5 Operating cash flow 7 Capital expenditure B Free cash flow 9 IBM Cash Flow 8728 4480 853 510 554 -127 126 555 122 15247 -3395 248 -139 -7041 6487 -569 -504 -4913 6891 -8533 -4614 -5666 1453 -10469 -495 -630 12234 11604 15247 -3964 11283 Type here to search 9431 6059 -1527 679 1225 67 -503 1661 -1097 14770 -2286 537 -31554 -3693 3961 -621 6720 -26936 31825 -12944 -1633 -5707 -2499 9042 -167 -3291 11604 8313 14770 -2907 11863
Expert Answer:
College Accounting Chapters 1-30
ISBN: 978-1259631115
15th edition
Authors: John Price, M. David Haddock, Michael Farina
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