Question: Help me !!! Problem #1 (30 marks) Industry Prepare a ratio analysis for Halifax Sports Inc. using an excel spreadsheet. The firm has 2 million

Help me !!!

Help me !!! Problem #1 (30 marks) Industry
Problem #1 (30 marks) Industry Prepare a ratio analysis for Halifax Sports Inc. using an excel spreadsheet. The firm has 2 million Ratio Formula Values Calculation Average shares authorized and has 1 million shares issued and outstanding. Current Ratio 4.20 Halifax Sports Inc. Halifax Sports Inc. Quick Ratio 2.10 Balance Sheet ($000) Balance Sheet [$000) Receivables turnover 9.85 ASSETS 2020 2019 2020 2019 Day's Sales in Recievables 37.00 Current Assets Sales Revenues 160.000 125,000 Inventory Turnover 2.50 Cash 485 9,000 Cost of Goods Sold 96,000 75,000 Day's Sales in Inventory 145.00 Short-term Investments 10 Contribution Margin 64,000 50,000 Debt to Total Assets 58.00% Cert, of Deposit 5 Operating Expenses 3.80 Accounts Receivable 16,000 12.500 Salaries 11.000 11,000 Times Interest Earned Inventory 45,500 25,000 Wages 16,000 12,500 Total Asset Turnover 1.14 Total Current Assets 62,000 50,500 General/Admin 10,000 10,000 Fixed Asset Turnover 1.40 Land 26,000 20,000 Amort/Depr. 10,000 4,500 Return on Total Assets 4.00% Buildings and Equipment 100,000 70,000 Interest 6, 100 3,000 Return on Equity 15.00% Accumulated Amortization 38,000 28,000 Earnings B4 Taxes 10,900 9.000 Gross Profit Margin 38.00% Net Plant & Equipment 98,000 62,030 Taxes 5,450 4,500 Operating Profit Margin 10.00% TOTAL ASSETS 150,000 112.500 Earnings After tax 5,450 4.500 Profit Margin 3.50% LIABILITIES and SHAREHOLDERS EQUITY Current Liabilities You need to show your work for your calculations. For example Accounts Payable 22.000 10.500 Equity Multiplier Bank Note 40,000 10,000 Assets 150,000 2.584 Taxes Payable 2,500 2,000 Accrued Expenses 4,500 5,OOD Equity 58,050 Total Current Liabilities 69.000 27.500 Long Term Debt First Mortgage Bands 20,000 22,000 b) Complete the cash flow statement for 2020 using an excel spreadsheet. (5 marks) Debenture Bonds 2,950 6,750 c) Complete the Sources and Uses Statement for 2020 using an excel spreadsheet. (5 marks) Total Liabilities 22,950 28,750 d) Complete the Cash Flow Identity Statement for 2020 using an excel spreadsheet. (5 marks] Equity e) Complete common size statements for both the income statement and balance sheets for Common Shares 31.500 31.500 both years using an excel spreadsheet. (10 marks] Retained Earnings 26.550 24.750 f) Use the Dupont ratio to calculate the ROE and which ratio should the firm try to improve? Tatal Equity SE,OSO 56,250 (4 marks) a) Using an excel spreadsheet calculate the following for both years: 30 marks NOTE: the use of the excel spreadsheet is mandatory and the excel spreadsheet must be embedded in the word document. Submitting a separate file to the spreadsheet is not acceptable. If the spreadsheet is not used, a mark of 0 will be applied to the

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!