Question

SMOLIRA GOLF, INC.
Balance Sheets as of December 31, 2015 and 2016

	2015				2016					2015				2016
Assets									Liabilities and Owners’ Equity
Current assets									Current liabilities
Cash	$	2,881			$	2,757			Accounts payable	$	2,208			$	2,710
Accounts receivable		4,712				5,671			Notes payable		1,805				2,226
Inventory		12,698				13,672			Other		101				118
Total	$	20,291			$	22,100			Total	$	4,114			$	5,054
									Long-term debt	$	14,400			$	17,160
									Owners’ equity
									Common stock and paid-in surplus	$	43,500			$	43,500
Fixed assets									Accumulated retained earnings		15,709				39,915
Net plant and equipment	$	57,432			$	83,529			Total	$	59,209			$	83,415
Total assets	$	77,723			$	105,629			Total liabilities and owners’ equity	$	77,723			$	105,629

SMOLIRA GOLF, INC.
2016 Income Statement

Sales

$

189,570

Cost of goods sold

127,303

Depreciation

5,223

EBIT

$

57,044

Interest paid

1,320

Taxable income

$

55,724

Taxes

19,503

Net income

$

36,221

Dividends

$

12,015

Retained earnings

24,206

Find the following financial ratios for Smolira Golf (use year-end figures rather than average values where appropriate): (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Enter the profitability ratios as a percent.)

		2015			2016
Short-term solvency ratios
a.	Current ratio		times			times
b.	Quick ratio		times			times
c.	Cash ratio		times			times
Asset utilization ratios
d.	Total asset turnover					times
e.	Inventory turnover					times
f.	Receivables turnover					times
Long-term solvency ratios
g.	Total debt ratio		times			times
h.	Debt−equity ratio		times			times
i.	Equity multiplier		times			times
j.	Times interest earned ratio					times
k.	Cash coverage ratio					times
Profitability ratios
l.	Profit margin					%
m.	Return on assets					%
n.	Return on equity					%