Use this Excel spreadsheet to compute ratios;show your computations for all ratios on this tab, and also include your commentary.

The 2014 financial statements used to calculate these ratios are available in the Investor Relations sections of the Nike

and Under Amour websites.

Explain to me how to compare the ratios and how to work on the dividends

NIKE Under Amour 5/31/2014 12/31/2014 As given in the income statement $3.05 $0.98 Current assets $13,696 = 2.72 $1,549,399 = 3.67 Current liabilities $5,027 $421,627 Gross profit $12,446 = 44.8% $1,512,206 = 49.0% Net sales $27,799 $3,084,370 Net income $2,693 = 9.7% $208,042 = 6.7% Net sales $27,799 $3,084,370 Cost of goods sold $15,353 = 4.1 $1,572,164 3.1 Average inventory $3,716 $502,860 365 days 365 = 88 365 = 117 Inventory turnover 4.1 days 3.1 days Net credit sales $27,799 = 8.5 $3,084,370 = 12.6 Average net accounts receivable $3,276 $244,894 365 days 365 = 43 365 = 29 Accounts receivable turnover 8.5 days 12.6 days Net sales $27,799 = 1.54 $3,084,370 = 1.68 Average total assets $18,070 $1,836,412 Net income $2,693 = 14.9% $208,042 = 11.3% Average total assets $18,070 $1,836,412 Total Liabilities $7,770 = 41.8% $744,783 = 35.5% Total Assets $18,594 $2,095,083 Net income + interest expense + income tax expense $3,577 = 108.4 347,545 = 65.1 interest expense $33 5,335 Dividend per share of common stock (Yahoo Finance 12/24/2015) $1.28 = 2.0% $0.00 = 0.0% Market price per share of common stock (Yahoo Finance 12/24/2015) $63.18 $81.20 Net income - preferred dividends 2,693 = 24.6% 208,042 = 17.3% Average common stockholders' equity 10,952.50 1,201,827.00 Net cash provided by operating activities minus capital expenditures minus cash dividends = $1,324 = $78,505 in millions in thousands Market price per share of common stock as of 5/30/2014 for Nike and 12/31/2014 for Under Amour $76.91 = 25 $67.90 = 69 Earnings per share $3.05 $0.98