The following balance sheet and income statement data were taken from the financial records of The Dana
Question:
The following balance sheet and income statement data were taken from the financial records of The Dana Point Company:
Required
1. Calculate the following ratios for The Dana Point Company for 2015 and 2016:
Return on equity Long-term debt to total assets
Return on sales Long-term debt to shareholders’ equity
Asset turnover Interest coverage ratio
Financial leverage Quick ratio
Receivable collection period Current ratio
Inventory-on-hand period Gross profit margin ratio
Days’ payable period
2. Comment on the trends in profitability, asset management, and financial risk for The Dana Point Company from 2015 to 2016.
Step by Step Answer:
Financial Accounting For Executives And MBAs
ISBN: 9781618531988
4th Edition
Authors: Wallace, Simko, Ferris