P2-32 (similar to)

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showing financial statement data and stock price data for Mydeco Corp.

a. Compare accounts payable days in

2012 and 2016.

b. Did this change in accounts payable days improve or worsen Mydeco's cash position in 2016?

(Note: Use a 365-day year.)

a. Compare accounts payable days in 2012 and 2016.

The accounts payable days for 2012 is nothing days.(Round to one decimal place.)

Income Statement	2012	2013	2014	2015	2016
Revenue	399.2	360.7	422.9	506.9	606.9
Cost of Goods Sold	(187.8)	(172.7)	(204.3)	(247.5)	(295.0)
Gross Profit	211.4	188	218.6	259.4	311.9
Sales and Marketing	(68.5)	(65.8)	(82.9)	(100.3)	(123.0)
Administration	(60.6)	(60.8)	(59.8)	(66.6)	(78.7)
Depreciation & Amortization	(26.4)	(27.3)	(32.4)	(39.5)	(40.5)
EBIT	55.9	34.1	43.5	53	69.7
Interest Income (Expense)	(35.1)	(31.1)	(31.3)	(35.9)	(38.7)
Pretax Income	20.8	3	12.2	17.1	31
Income Tax	(7.3)	(1.1)	(4.3)	(6.0)	(10.9)
Net Income	13.5	1.9	7.9	11.1	20.1
Shares outstanding (millions)	53.3	53.3	53.3	53.3	53.3
Earnings per share	$0.25	$0.04	$0.15	$0.21	$0.38
Balance Sheet	2012	2013	2014	2015	2016
Assets
Cash	47.7	67.7	85	78.5	82
Accounts Receivable	89.8	70.1	71.1	75.6	86.4
Inventory	35.6	31.2	27.9	30.2	34.8
Total Current Assets	173.1	169	184	184.3	203.2
Net Property, Plant & Equip.	243.1	240.8	310.7	341.7	344.5
Goodwill & Intangibles	364.5	364.5	364.5	364.5	364.5
Total Assets	780.7	774.3	859.2	890.5	912.2
Liabilities & Stockholders' Equity
Accounts Payable	19.1	16.5	22.3	27.6	31.8
Accrued Compensation	7.4	6.1	6.9	8.5	9.5
Total Current Liabilities	26.5	22.6	29.2	36.1	41.3
Long-term Debt	496.3	496.3	570.4	594.7	594.7
Total Liabilities	522.8	518.9	599.6	630.8	636
Stockholders' Equity	257.9	255.4	259.6	259.7	276.2
Total Liabilities & Stockholders' Equity	780.7	774.3	859.2	890.5	912.2
Statement of Cash Flows	2012	2013	2014	2015	2016
Net Income	13.5	1.9	7.9	11.1	20.1
Depreciation & Amortization	26.4	27.3	32.4	39.5	40.5
Chg. in Accounts Receivable	3.9	19.7	-1	(4.5)	(10.8)
Chg. in Inventory	(2.9)	4.4	3.3	(2.3)	(4.6)
Chg. in Pay. & Accrued Comp.	1.8	(3.9)	6.6	6.9	5.2
Cash from Operations	42.7	49.4	49.2	50.7	50.4
Capital Expenditures	(23.2)	(23.2)	(99.8)	(75.3)	(40.7)
Cash from Investing Activ.	(23.2)	(23.2)	(99.8)	(75.3)	(40.7)
Dividends Paid	(6.2)	(6.2)	(6.2)	(6.2)	(6.2)
Sale (or purchase) of stock	-	-	-	-	-
Debt Issuance (Pay Down)	-	-	74.1	24.3	-
Cash from Financing Activ.	(6.2)	(6.2)	67.9	18.1	(6.2)
Change in Cash	13.3	20	17.3	(6.5)	3.5
Mydeco Stock Price	$7.22	$4.03	$5.38	$7.82	$12.62