The financial statements for Nike, Inc., are presented in Appendix D at the end of the text. Use the following additional information (in thousands):
Accounts receivable at May 31, 2014.......................$ 3,117
Inventories at May 31, 2014....................................4,142
Total assets at May 31, 2014..................................18,594
Stockholders' equity at May 31, 2014.......................12,000
Instructions
1. Determine the following measures for the fiscal years ended May 31, 2016, and May 31, 2015. Round ratios and percentages to one decimal place.
a. Working capital
b. Current ratio
c. Quick ratio
d. Accounts receivable turnover
e. Number of days' sales in receivables
f. Inventory turnover
g. Number of days' sales in inventory
h. Ratio of liabilities to stockholders' equity
i. Asset turnover
j. Return on total assets.
k. Return on common stockholders' equity
l. Price-earnings ratio, assuming that the market price was $54.90 per share on May 29, 2016, and $52.81 per share on May 30, 2015
m. Percentage relationship of net income to sales
2. What conclusions can be drawn from these analyses?