The current year financial statements for two competitors are presented below. Please analyze their financials. Note:...

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The current year financial statements for two competitors are presented below. Please analyze their financials. Note: if a ratio cannot be solved given the data provided, please leave it blank. There are a few ratios that cannot be solved given the information provided. Balance sheet: Cash Accounts receivable (net) Inventory Property & equipment (net) Other assets Total assets Current liabilities Long-term debt (interest rate: 15 % ) Capital stock ($10 par value) Additional paid-in capital Retained earnings Total liabilities and stockholders' equity Income statement: Sales revenue (1/2 on credit) Cost of goods sold Operating expenses Net income Other data: Per share stock price at end of current year Average income tax rate Dividends declared and paid in current year Profitability ratios: 1. 2. 3. 4. 5. 6. Ratio 7. 8. 9. 10. Return on equity Return on assets Gross profit percentage Net profit margin Earnings per share Quality of income Asset turnover ratios: Total asset turnover Fixed asset turnover Receivable turnover Inventory turnover Liquidity ratios: 11. Current ratio 12. 13. Quick ratio Cash ratio Solvency ratios: 14. Times interest earned ratio 15. Cash coverage ratio 16. Debt/equity ratio Market ratios: Both companies are in the fish catching and manufacturing business. Both have been in business approximately 10 years, and each has had steady growth. The management of each has a different viewpoint in many respects. Blue Water is more conservative, and as its president has said, "We avoid what we consider to be undue risk." Neither company is publicly held. 17. Price/earnings ratio 18. Dividend yield ratio Required: 1. Complete a schedule that reflects a ratio analysis of each company. (Round your intermediate calculations and final answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34).) BLUE WATER COMPANY % % % % % PRIME FISH COMPANY Blue Water % % % % $ 41,300 39,500 97,500 144,500 84,300 $ 407,100 $ % 97,500 67,100 150,100 29,300 63,100 $ 407,100 $ 442,500 (239,500) (161,600) $ 41,400 $ 22.3 45% $ 33,300 Prime Fish $ 20,700 31,900 41,800 404,600 308,000 $ 807,000 $ 53,500 60,600 515,000 106,300 71,600 $807,000 $ 799,000 (400, 300) (311,300) 87,400 $ $ 18 45% $ 149,500 The current year financial statements for two competitors are presented below. Please analyze their financials. Note: if a ratio cannot be solved given the data provided, please leave it blank. There are a few ratios that cannot be solved given the information provided. Balance sheet: Cash Accounts receivable (net) Inventory Property & equipment (net) Other assets Total assets Current liabilities Long-term debt (interest rate: 15 % ) Capital stock ($10 par value) Additional paid-in capital Retained earnings Total liabilities and stockholders' equity Income statement: Sales revenue (1/2 on credit) Cost of goods sold Operating expenses Net income Other data: Per share stock price at end of current year Average income tax rate Dividends declared and paid in current year Profitability ratios: 1. 2. 3. 4. 5. 6. Ratio 7. 8. 9. 10. Return on equity Return on assets Gross profit percentage Net profit margin Earnings per share Quality of income Asset turnover ratios: Total asset turnover Fixed asset turnover Receivable turnover Inventory turnover Liquidity ratios: 11. Current ratio 12. 13. Quick ratio Cash ratio Solvency ratios: 14. Times interest earned ratio 15. Cash coverage ratio 16. Debt/equity ratio Market ratios: Both companies are in the fish catching and manufacturing business. Both have been in business approximately 10 years, and each has had steady growth. The management of each has a different viewpoint in many respects. Blue Water is more conservative, and as its president has said, "We avoid what we consider to be undue risk." Neither company is publicly held. 17. Price/earnings ratio 18. Dividend yield ratio Required: 1. Complete a schedule that reflects a ratio analysis of each company. (Round your intermediate calculations and final answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34).) BLUE WATER COMPANY % % % % % PRIME FISH COMPANY Blue Water % % % % $ 41,300 39,500 97,500 144,500 84,300 $ 407,100 $ % 97,500 67,100 150,100 29,300 63,100 $ 407,100 $ 442,500 (239,500) (161,600) $ 41,400 $ 22.3 45% $ 33,300 Prime Fish $ 20,700 31,900 41,800 404,600 308,000 $ 807,000 $ 53,500 60,600 515,000 106,300 71,600 $807,000 $ 799,000 (400, 300) (311,300) 87,400 $ $ 18 45% $ 149,500

Answer rating: 100% (QA)

Here is the ratio analysis for the two companies Ratio BLUE WATER COMPANY PRIME FISH COMPA... View the full answer