Joshua & White (J&W) Technology's financial statements are also shown here. Answer the following questions.

a. Has J&W's liquidity position improved or worsened? Explain.

b. Has J&W's ability to manage its assets improved or worsened? Explain.

c. How has J&W's profitability changed during the last year?

d. Perform an extended DuPont analysis for J&W for 2015 and 2016. What do these results tell you?

e. Perform a common size analysis. What has happened to the composition (that is, percentage in each category) of assets and liabilities?

f. Perform a percentage change analysis. What does this tell you about the change in profitability and asset utilization?

Joshua & White Technology: December 31 Balance Sheets (Thousands of Dollars)

Joshua & White Technology: Income Statements for Years Ending
December 31 (Thousands of Dollars)
2016 2015
Sales.............................................................$420,000........................$400,000
COGS excluding depr. & amort..............................300,000.........................298,000
Depreciation and amortization..................................19,660...........................18,000
Other operating expenses........................................27,600...........................22,000
EBIT.............................................................$ 72,740.........................$ 62,000
Interest expense....................................................5,740.............................4,460
EBT............................................................$ 67,000...........................$ 57,540
Taxes (40%)......................................................26,800............................23,016
Net income....................................................$ 40,200..........................$ 34,524
Common dividends..........................................$ 18,125..........................$ 17,262
Other Data 2016 2015
Year-end stock price....................................$ 90.00..................$ 96.00
Number of shares (Thousands)..........................4,052....................4,000
Lease payment (Thousands of Dollars).............$20,000.................$20,000
Sinking fund payment (Thousands of Dollars).....$ 5,000..................$ 5,000

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2015 33,600 32,000 12,000 Assets 2016 Liabilities & Equity 2016 21,000 20,000 Accounts payable Short-term investments Accounts receivable Inventories 3,759 52,500 3,240 Accruals 48,000 Notes payable 56,000 12,600 Total current liabilities 66,12950,480 Total current assets Net fixed assets S161,259 $12734 Long-term debt 67,662 133,79 $108,800 178,440 40,000 Total common equity $245.868 $218,440 $327,240 218,400 $379,659 200,000 $32 Total liabilities Total assets 7,240 Common stock 183,793 62,075 Total liabilities & equity $379,659