Question: Assignment 1: Financial Analysis Please determine the requested ratios based on the information in the following statements: Lillian Ruth Artworks, Inc. Income Statement Period Ended
Assignment 1: Financial Analysis
Please determine the requested ratios based on the information in the following statements:
Lillian Ruth Artworks, Inc.
Income Statement
Period Ended 12/31/--
Net Sales $1,181,001
Cost of Goods Sold 767,650
Gross Profit 413,351
Operating Expenses 301,746
Net Operating Profit 111,605
Interest Expense 40,177
Earnings Before Tax 71,428
Tax (.21) 15,000
Net Income $ 56,428
Lillian Ruth Artworks, Inc.
Balance Sheet
As of 12/31/--
Cash $131,250 Accounts Payable $381,250
Accounts Receivable 458,750 Accruals 50,000
Inventory 262,500 Notes Payable 206,250
Current Assets $852,500 Current Liabilities $637,500
Gross Fixed Assets $650,000 Bonds $150,000
Accumulated Depreciation 100,000 Debentures 100,000
Net Fixed Assets 550,000 Long-Term Debt $250,000
Total Debt $887,500
Preferred Stock $ 50,000
Common Stock 200,000
Retained Earnings $ 265,000
Total Equity $ 515,000
Total Assets $1,402,500 Total Debt and Equity $1,402,500
Footnotes: 1. Where appropriate use a 360 day year
2. Common shares outstanding: 25,000
3. Preferred shares outstanding: 5,000
4. Preferred Dividends: $5,000
5. Common Dividends: $9,000
6. Common Stock Market Price Per Share: $33.00
7. Earnings Per Share: $2.06 Per Share
- Lillian Ruths Total Asset Turnover
- Lillian Ruths Times Interest Earned
- Lillian Ruths Earning Power
- Lillian Ruths Dividend Payout
- Lillian Ruths Debt Ratio
- Lillian Ruths Book Value/Share
- Lillian Ruths Net Margin
- Lillian Ruths Fixed Asset Turnover
- Lillian Ruths Return on Common Equity
- Lillian Ruths Accounts Receivables Collection Period
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