The financial statements of The Hershey Company appear in Appendix B, following the financial statements for Tootsie
Question:
The financial statements of The Hershey Company appear in Appendix B, following the financial statements for Tootsie Roll in Appendix A. Assume Hershey’s average number of shares outstanding was 227,517,000, and Tootsie Roll’s was 56,072,000.
Instructions
(a) For each company calculate the following values for 2009.
(1) Working capital.
(2) Current ratio.
(3) Debt to total assets ratio
(4) Free cash flow.
(5) Earnings per share.
(b) Based on your findings above, discuss the relative liquidity and solvency of the two companies.
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Solvency
Solvency means the ability of a business to fulfill its non-current financial liabilities. Often you have heard that the company X went insolvent, this means that the company X is no longer able to settle its noncurrent financial...
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Step by Step Answer:
a in thousands Hershey Foods Tootsie Roll 1 Working capital 1385434 910628 474806 211878 56066 15581...View the full answer
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Related Book For 
Financial Accounting Tools for business decision making
ISBN: 978-0470534779
6th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
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