Question: Based on the data below (Balance Sheet and Income Statement), please calculate the following ratios: A. Create a common size balance sheet and income statement.
Based on the data below (Balance Sheet and Income Statement), please calculate the following ratios:
A. Create a common size balance sheet and income statement.
B. Find the following:
- ROE
- ROA
- Gross profit margin
- Operating Profit Margin
- Net Profit Margin
- Current Ratio
- Quick Ratio
- Inventory turnover
- Accounts receivable Turnover
- Total Asset Turnover
- Debt Ratio
- Debt to Equity Ratio
Blockbuster Inc.
Balance Sheet for year-ended Dec 31 ($000s)
ASSETSYear 1Year 2Cash 194,200200,200Accounts Receivables185,800150,000Inventory242,200202,900Other Current Assets177,300163,300Total Current Assets799,500716,400Fixed Assets Long Term Investments214,100159,500PP&E1,079,400909,000Goodwill6,455,9005,967,500Total Fixed Assets7,749,4007,036,000Total Assets8,548,9007,752,400LIABILITIES AND SHAREHOLDERS EQUITY Accounts Payable1,090,4001,087,400Short-term Debt32,800181,400Total Current Liabilities1,123,2001,268,800Long-term Debt1,417,300734,900Total Liabilities2,540,5002,003,700Shareholders Equity Common Stock6,095,2006,075,800Retained Earnings-86,800-327,100Total Stockholder Equity6,008,4005,748,700Total Liabilities and Shareholders Equity8,548,9007,752,400Blockbuster Inc.
Income Statement for year-ended Dec 31 ($000s)
Year 1Year 2Sales4,969,1005,157,600COGS2,036,0002,420,700SG&A2,390,6002,532,400Depreciation279,000246,600Amortization of Intangibles180,100176,100Operating Income (Loss)83,400-218,200Interest Expense116,50078,200Income Before Tax-33,100-296,400Income Tax Expense45,400-56,100Net Income -78,500-240,300
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