Company's December 31 Balance Sheets Assets 2022 2021 Cash $ 72,000
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Question:
Company's December 31 Balance Sheets | ||
Assets | 2022 | 2021 |
Cash | $ 72,000 | $ 65,000 |
Accounts receivable | 439,000 | 328,000 |
Inventories | 894,000 | 813,000 |
Total current assets | $ 1,405,000 | $ 1,206,000 |
Land and building | 238,000 | 271,000 |
Machinery | 132,000 | 133,000 |
Other fixed assets | 61,000 | 57,000 |
Total assets | $ 1,836,000 | $ 1,667,000 |
Liabilities and equity | ||
Accounts payable | $ 432,000 | $ 409,500 |
Accrued liabilities | 170,000 | 162,000 |
Total current liabilitiesDEBT | $ 602,000 | $ 571,500 |
Long-term debtDEBT | 404,290 | 258,898 |
Common stockEQUITY | 575,000 | 575,000 |
Retained earningsEQUITY | 254,710 | 261,602 |
Total liabilities and equity | $ 1,836,000 | $ 1,667,000 |
Company's December 31 Income Statement | ||
2022 | 2021 | |
Sales | $ 4,240,000 | $ 3,635,000 |
Cost of goods sold | 3,680,000 | 2,980,000 |
Gross operating profit | $ 560,000 | $ 655,000 |
General admin. and selling epenses | 236,320 | 213,550 |
Depreciation | 159,000 | 154,500 |
Miscellaneous | 134,000 | 127,000 |
EBT | $ 30,680 | $ 159,950 |
Taxes (40%) | 12,272 | 63,980 |
Net income | $ 18,408 | $ 95,970 |
Per-Share Data | 2022 | 2021 |
EPS | $0.80 | $4.17 |
Cash dividends | $1.10 | $0.95 |
Market price (average) | $12.34 | $23.57 |
P/E ratio | 15.4 | 5.65 |
Number of shares outstanding | 23,000 | 23,000 |
Solve the following using above data.
Ratio Analysis | 2022 | 2021 | Industry Avga |
Liquidity | |||
Current ratio | 2.7 | ||
Asset Management | |||
Inventory turnoverb | 7.0 | ||
Days sales oustandingc | 32 | ||
Inventory daysc | 52 | ||
Total assets turnoverb | 2.6 | ||
Profitability | |||
Return on assets | 9.1% | ||
Return on equity | 18.2% | ||
Net Profit margin | 3.5% | ||
Debt Management | |||
Total Debt ratio | 50.0% | ||
Market Value | |||
P/E ratio | 6.0 |
Related Book For
Fundamentals of Financial Management
ISBN: 978-1337395250
15th edition
Authors: Eugene F. Brigham, Joel F. Houston
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