AutoSave all ExPrep Home Insert Draw Page Layout Formulas Data Review View Automat Calibri 12 AA ab Wrap Paste BI UV v A Merg x Office Update To keep up-to-date with security updates, fixes, and improvements, choose Check fo A1 4 X V fx Madison Makeup reported the following on its most recent financial state Miscellaneous financial information Figure reported in the actual Figure reported in the common size financial statement N financial statement 3 Long-term assets other than any listed in this table 474,158 Total liabilities 5 Cash 39,560 6 Operating current assets other than any listed in this table 2,288 Current portion of long-term debt 23,782 8 Cost of sales 232,305 9 Nonoperating current assets other than any listed in this table 3,511 10 Total long-term assets 11 All equity items other than any listed in this table 68,202 12 Total long-term liabilities 13 Long-term debt 141,315 14 Earnings before taxes 15 Par value 477 16 Total equity 17 Retained earnings 74,851 18 Current liabilities other than any listed in this table 9,656 19 Revenue 337,227 20 Total current liabilities 21 Interest expense 20,334 22 Taxes 17,546 23 Total assets 24 Long-term liabilities other than any listed in this table 135,096 25 Accounts receivable 56,190 26 Current assets 27 Nonoperating income (expense) other than interest 4.955 28 SG&A and other indirect expense 41,530 29 Net Income 30 Paid-in capital 109,414 31 Accounts payable 138,045 32 Operating income 33 Treasury stock -3,800 34 Short-term debt 144,904 35 Gross income 36 Inventory 115,934 37 PP&E 150,301 38 39 40 What was Madison Makeup's net income margin? 41 What was Madison Makeup's asset turnover ratio? 42 What was Madison Makeup's ratio of assets to equity? What is the product of the 3 figures provided as answers to the 3 43 previous questions What was Madison Makeup's ROE, computed as net income divided 44 by total equity? Are the figures in the previous 2 questions equal to each other? Write 45 1 if the answer is yes or write 0 if the answer is no.AutoSave O A A P J . C ... ExPrep 01 - financial statement basics and analysis (Empty) Home Insert Draw Page Layout Formulas Data Review View Automate ? Tell me Comments Share Calibri (Body) v 11 AA ab Wrap Text Number Insert v Ex AP- O. Ex Delete Paste BIUV MVAv EE Merge & Center v $ ~ % " Conditional Format Cell Sort & Find & Analyze Formatting as Table Styles Format v Sensitivity Filter Select Data x Office Update To keep up-to-date with security updates, fixes, and improvements, choose Check for Updates. Check for Updates A1 4 X V fx Fill in the highlighted cells in the table. For "word" answers, you may need to enter your answer as hard code, as ExPrep sometimes fails to recognize referenced words. It does fine with referenced numbers, so you can Fill in the highlighted cells in the table. For "word" answers, you may need to enter your answer as hard code, as ExPrep sometimes fails to recognize referenced words. It does fine with referenced numbers, so you can work elsewhere on the spreadsheet and reference your answers into the relevant cells if you'd like. Answer (must exactly match option in choice Question set, so copy & paste from group of Enter the following possibilities is suggested) number if .. the answer to the question is . 3 Is the following statement true or false? High inventory turnover ratio and high inventory days are preferred, all else equal. FALSE 4 What term is used to classify measures of a firm's ability to generate profits TRUE What is considered the minimum interest coverage ratio (based on EBIT) that analysts prefer to see? Asset ratio Firm A has a has a net profit margin of 20% and an asset turnover ratio of 60%. One firm is in the utilities industry and the other is in the grocery stores industry. Which firm is more likely to be in the grocery Average stores industry? Is the following statement true or false? The number of inventory days for a firm increasing over several years is consistent with a likely 7 future increase in the price of the firm's products. 4 Benchmarking What term is 'm is used to describe a balance sheet that reports all items as a percent of assets and an income statementthat reports all itens as a 8 percent of revenue? 5 Common size 9 Which of the two primary liquidity ratios is servative way to measure liquidity 6 Current ratio 10 Is the following statement true or false? Ver than more mature firms. EBIT 11 Is the following statement true or false? High accounts receivable turnover ratio and low accounts receivable days are preferred, all else EBITDA 12 What term is us Efficiency Is the following statement true or false? Benchmarking can involve comparisons with one or a small group of competitors and benchmarking can involve comparisons a in entire industry. 10 Ending When computing a ratio involving a flow and uring the stock for the period - average, initial, or ending - most Firm A 14 accurately reflects the stock used to generate the associated flow over the relevant period? 11 but over time, firms continue to use an 15 increasing amount of debt relative to equity until they either get acquired or cease operating. Firm B 6 Is the following statement true or false? It is orking capital funding gap to be negative. Gross return on assets Firm A has a net profit margin of 5% and an asset has a net profit margin of 20% and an asset turnover ratio of 60%. One firm is in the utilities industry and the other cery stores industry. Which firm is more likely to be in the utilities Initia Is the following statement true or false? Hi its payable days are preferred, all else equal. Interest expense 19 Which profitability ratio on the list of possibilities is the mo Leverage 20 Is the following stater ue or false? & returns to shareholders, but generally with dilution. Liquidity Is the following statement true or false? The number of inventor rm increasing over several years is consistent with decreasing 21 demand for the firm's products. let income Which profitability ratio on the list of possibilities is is the most useful for conveying information about the firm's ability to generate after-tax 22 operating income for all investors? Nonoperating income 23 What term is used to classify measures of a firm Operating return on assets 24 What term is used to classify measures of a firm's ability to operate efficiently Payout ratio Firm A has a net profit margin of 5% and an asset turnover ratio of 240%. Firm B has a net profit margin of 20% and an asset turnover ratio One firm is in the luxury goods he restaurants industry. Which firm is more likely to be in the restaurant Profitability 25 industry? 26 What term is used to classify measures of a firm's ability to meet debt obligations? Quick ratio 27 What is considered the minimum acceptable interest coverage ratio (based on EBIT) for a company with consistent revenues? Return on assets What term is used to descri ocess of comparing a firm's ratios and measures to a standard based on itself or other firms? Return on equity Among the two most common approaches to computing the interest coverage ratio, what is in the numerator for the approach that is 29 considered to be the less conservative way to measure solvency? Return on invested capital When computing a ratio involving a flow and stock, which method of measuring the stock for the period - average, initial, or ending - is the 30 easiest to compute? Return on standard profits Firm A has a net profit margin of 5% and an asset turnover ratio of 240%. Firm B has a net profit margin of 20% and an asset turnover ratio of 60%. One firm is in the luxury goods industry and the other is in the restaurants industry. Which firm is more likely to be in the luxury 28 Solvency 31 goods industry? 29 Taxable income Q5 Q6 Q7 Q8 Q9 X1 X2 X3 + Select destination and press ENTER or choose Paste + 70%AutoSave O A A P J . C ... ExPrep 01 - financial statement basics and analysis (Empty) Home Insert Draw Page Layout Formulas Data Review View Automate ? Tell me Comments Share Calibri (Body) v 11 AA ab Wrap Text v Number Insert v Ex AP- O. x Delete V Z Paste BIUV MVAv EE Merge & Center v $ ~ % " Conditional Format Cell Sort & Find & Sensitivity Analyze Formatting as Table Styles Format v Filter Select Data x Office Update To keep up-to-date with security updates, fixes, and improvements, choose Check for Updates. Check for Updates A1 X v fx Fill in the orange cells in the financial statements and the yellow cells in the questions section. Use end of year stock variables to compute any measures that involve a flow and stock. For "word" answers, makes ure to D G M Q Fill in the orange cells in the financial statements and the yellow cells in the questions section. Use end of year stock variables to compute any measures that involve a flow and stock. For "word" answers, makes ure to enter the desired answer exactly as noted in the question. Firm A Firm A Firm B Income Statement 2018A 2023A 2023A 5 Revenue $45,840 444,787 ,111,724 Cost of goods sold 150,902 164,290 305,723 7 Gross Profit SG&A costs and other indirect expenses 58,511 92,384 252 , 289 9 Operating Profit 10 Interest expense 1,754 2,053 5,697 11 Other non-operating income (expense) 17,488 22,634 40,414 12 Earnings Before Taxes 13 Taxes 27,421 34,537 177,973 14 Net income 15 16 Firm A Firm A Firm B 17 Balance Sheet 2018A 2023A 2023A 18 Assets 19 Cash & equivalents 19,357 22,160 35,833 20 Other nonoperating current assets 1,364 1,849 85,927 21 Accounts receivable 18,758 36,710 156,178 22 Inventory 107,063 119,587 229,501 23 Other operating current assets 46,496 62 ,875 92,842 24 Current Assets 25 PP&E 78,318 95,550 221,863 26 Other long-term assets 154,467 229,386 326,817 27 Long-term Assets 28 Total Assets 29 30 Liabilities 31 Accounts payable 35,594 30,216 93,600 32 Short-term debt 1,879 2,318 74,239 33 Current portion of long-term debt 16,538 22,981 26,703 34 Other current liabilities 48,311 55,727 130,241 35 Current Liabilities 36 Long-term debt 54,957 79,098 103,724 37 Other long-term liabilities 42,531 66,161 254,090 38 Long-term liabilities 39 Total Liabilities 40 41 Shareholder's Equity 42 Total Liabilities & Shareholder's Equity 43 44 Firm A Firm A Firm B 45 Miscellaneous information 2018A 2023A 2023A 46 Depreciation 3,582 2.006 86,288 47 Amortization 4,732 800 20,283 48 Legal tax rate 20.00% 22.00% 22.00% 49 CO Q5 Q6 Q7 Q8 Q9 X1 X2 X3 + Select destination and press ENTER or choose Paste + 80%Autosave D () Home Insert Draw [ 2 Page Layout Formulas Data viA A GV A Calibri (Body) viim Paste =5