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Item21

Item 21 14 points

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Some recent financial statements for Smolira Golf Corp. follow.

SMOLIRA GOLF CORP. 2017 and 2018 Balance Sheets
Assets									Liabilities and Owners Equity
	2017				2018					2017				2018
Current assets									Current liabilities
Cash	$	23,046			$	25,100			Accounts payable	$	24,184			$	28,100
Accounts receivable		13,448				16,200			Notes payable		20,000				11,800
Inventory		26,822				28,100			Other		12,571				19,100
Total	$	63,316			$	69,400			Total	$	56,755			$	59,000
									Long-term debt	$	79,000			$	83,424
									Owners equity
									Common stock and paid-in surplus	$	48,000			$	48,000
									Accumulated retained earnings		214,256				243,576
Fixed assets
Net plant and equipment	$	334,695			$	364,600			Total	$	262,256			$	291,576
Total assets	$	398,011			$	434,000			Total liabilities and owners equity	$	398,011			$	434,000

SMOLIRA GOLF CORP. 2018 Income Statement
Sales					$	349,760
Cost of goods sold						241,500
Depreciation						27,200
Earnings before interest and taxes					$	81,060
Interest paid						15,300
Taxable income					$	65,760
Taxes (25%)						16,440
Net income					$	49,320
Dividends	$	20,000
Retained earnings		29,320

Find the following financial ratios for Smolira Golf Corp. (use year-end figures rather than average values where appropriate): (Enter your profitability ratio answers as a percent rounded to 2 decimal places, e.g., 32.16. Round the remaining answers to 2 decimal places, e.g., 32.16.)

Short-term solvency ratios:		2017		2018
a.	Current ratio		times		times
b.	Quick ratio		times		times
c.	Cash ratio		times		times

Asset utilization ratios:d.Total asset turnover times

e.Inventory turnover times

f.Receivables turnovertimes

Long-term solvency ratios:		2017		2018
g.	Total debt ratio		times		times
h.	Debt-equity ratio		times		times
i.	Equity multiplier		times		times

j. time interest earned times

k. cash coverage ratio times

Profitability ratios:
l.	Profit margin		%
m.	Return on assets		%
n.	Return on equity		%