Formulating Financial Statements from Raw Data and Calculating Ratios Following is selected financial information from JM Smucker Co. for a recent fiscal year ($ millions).

Current assets, end of year	$4,824.2	Noncurrent liabilities, end of year	$14,309.0
Cash, end of year	407.8	Stockholders' equity, end of year	19,536.2
Cash for investing activities	(853.2)	Cash from operating activities	2,727.1
Cost of product sold	12,715.7	Total assets, beginning of year	39,082.1
Total liabilities, end of year	18,995.8	Revenue	19,197.4
Cash for financing activities	(2,268.5)	Total expenses, other than cost of product sold	4,965.6
Stockholders' equity, beginning of year	19,499.5	Dividends paid	(1,003.4)

Required a. Prepare the income statement for the year.

J.M. Smucker Company, Inc.
Income Statement ($ millions)
Answer 1CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 2
Answer 3CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 4
Answer 5CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 6
Answer 7CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 8
Answer 9CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 10

b. Prepare the balance sheet at the end of the year.

J.M. Smucker Company, Inc.
Balance Sheet ($ millions)
Answer 11CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 12	Answer 13CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 14
Answer 15CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 16	Answer 17CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 18
Answer 19CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 20	Answer 21CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 22
Answer 23CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 24	Answer 25CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 26
Answer 27CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 28	Answer 29CashCash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning yearCash, ending yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent assetsNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 30

c. Prepare the statement of cash flows for the year. Note: Use negative signs with answers to indicate a decrease in cash.

J.M. Smucker Company, Inc.
Statement of Cash Flow ($ millions)
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 31
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 32
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 33
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 34
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 35
Cash for financing activitiesCash for investing activitiesCash from operating activitiesCash, beginning of yearCash, end of yearCost of goods soldCurrent liabilitiesGross profitNet incomeNet increase (decrease) in cashNoncurrent liabilitiesOther current assetsOther expensesRevenueStockholders' equityTotal assetsTotal current assetsTotal liabilitiesTotal liabilities and equity	Answer 36

d. Compute the following ratios. Note: Enter answers using one decimal place.

		Numerator	Denominator	Result
	Return on assets (ROA)	Answer 37	Answer 38
	Profit margin (PM	Answer 39	Answer 40
	Asset turnover (AT)	Answer 41	Answer 42
	Return on equity	Answer 43	Answer 44