Question: Below are numbers from a balance sheet and income statement. Construct the financial ratios requested below. Sales 431646 Operating Costs 318988 Depreciation Expense 10000 Interest

Below are numbers from a balance sheet and income statement. Construct the financial ratios requested below.

Sales 431646

Operating Costs 318988

Depreciation Expense 10000

Interest Expense 5000

Tax Expense 29408

Cash 1000

Receivables 30000

inventories 53164

Fixed Assets, Net 50000

Payables 11000

Accrued Expenses 10000

Long-Term Loan 50000

Common Equity 63164

Prepare an income statement and a balance sheet for this company using the information provided.

Calculate: 1. Return on equity

2. Current ratio

3. Quick ratio

4. NWC-to-total-Assets (Working capital to assets)

5. Ratio of total debt and liabilities to total assets

6. Ratio of total debt and liabilities to shareholders equity

7. Interest coverage

8. Net profit margin

9. Sales to total assets (Asset turnover)

10. Return on assets

11. Equity multiplier

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