ACTG 2200 Study Guide - Final Guide: Current Liability, Accounts Receivable, Interest Expense

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purplecicada511

4 Feb 2017

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Current ratio: net fair value = assets liabilities. Quick assets = cash + s/t investments / acc. Net income / market value of equity. [net income dividends on preferred stock] / shares c. stock outstanding. Lower better able to meet interest payments as they are due. Gross profit ratio = gross profit / net sales. Gross profit = net sales cogs. Net income = gross profit operating expenses. Cogs = inv. (beg) + purchases inv. (end) Net sales revenue = cogs + operating income + operating expenses. Receivables: net credit sales / avg. Ar: # times a/r balance is collected, higher preferred. Collection period: 365 / receivables turnover, # days a/r balance is outstanding, lower preferred. Inventory: # times firm sells avg. inventory balance during reporting period, higher = more effective of managing investment in inventory. Ar turnover: sales on acct / avg. accts receivable. Statement of cash flows (cash flows in or out)

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I would love some help with finding the below ratios for Nike in 2017 10-K Section 4 â Ratio calculations and analysis http://s1.q4cdn.com/806093406/files/doc_financials/2017/ar/docs/nike-2017-form-10K.pdf

RATIO	FORMULA	CURRENT YEAR	PREVIOUS YEAR

Current Ratio	Current Assets Current Liabilities

Accounts Receivable Turnover	Net Total Sales Avg. Accounts Rec.

Inventory Turnover	Cost of Goods Sold Average Inventory

Gross Profit Margin	Gross Profit Net sales

Net Profit Margin	Net Income Net Sales

Return on Total Assets	Net Income Avg. Total Assets

Return on Stockholdersâ Equity	Net Income Avg. Stockholdersâ Eq.

Earnings Per Share	(given on annual report)

Market Price Per Share at Year End	(available at Yahoo.com and other websites)

Price/Earnings Ratio	Year End Market Price Earnings Per Share

Debt Ratio	Total Liabilities Total Assets

Equity Ratio	Total Stockholdersâ Eq. Total Assets

Times Interest Earned	Income before Int. + Tax Interest Expense

purpleserval964

20. Brigman Inc. has the following financial statementinformation for 2009 and 2008:

Balance Sheet Information:	2009	2008
Assets:
Cash	$ 5,000	$ 12,000
Accounts receivable	14,000	10,000
Inventory	35,000	30,000
Total current assets	$ 54,000	$ 52,000

Property and Equipment (net)	50,000	45,000
Total assets	$104,000	$ 97,000

Liabilities:
Accounts payable	$ 9,000	$ 3,000
Salaries payable	3,000	1,000
Total current liabilities	$ 12,000	$ 4,000
Notes payable	20,000	25,000
Total liabilities	$ 32,000	$ 29,000

Stockholders' Equity:
Common stock	$ 40,000	$ 40,000
Retained earnings	32,000	28,000
Total stockholders' equity	$ 72,000	$ 68,000
Total liabilities and stockholders' equity	$104,000	$ 97,000

Income Statement Information:
Net sales	$650,000	$556,000
Cost of goods sold	380,000	290,000
Gross profit	$270,000	$266,000
Selling and administrative expenses	75,000	70,000
Interest expense	4,000	10,000
Income before income taxes	$191,000	$186,000
Income tax expense	57,300	56,300
Net income	$133,700	$129,700

Other Information:
Number of common shares outstanding	4,000	4,000
Dividends paid	$ 0	$ 0
Market price per share (12/31)	$40	$30
Income tax rate	30%	30.27%

Required: Compute the following ratios for the year endingDecember 31, 2009: (round to two decimal places)

A.	Inventory turnover

B.	Return on assets (ROA) ratio

C.	Asset turnover ratio

D.	Earnings per share (EPS)

E.	Price earnings (P/E) ratio.

F. Return on common stockholdersâ equity

G. Current ratio

H. Quick ratio

I. Debt-to-equity ratio

limemacaw827

Total current assets

59,314

Long-term marketable securities

5,989

Property and equipment, net

82,447

Deferred income taxesânon-current

LIABILITIES AND SHAREHOLDERSâ EQUITY

Current liabilities

Accounts payable

11,046

Accrued compensation and benefits

6,389

Deferred revenue

4,625

Total current liabilities

22,060

Other Liabilities

Deferred lease credits and other long-term liabilities

Accumulated other comprehensive loss, net of tax

(15)

Retained earnings

34,208

Total shareholdersâ equity

127,439

Total liabilities and shareholdersâ equity

153,005

* Common stock:13,516,000 shares outstanding

PEETâS COFFEE & TEA, INC.

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share amounts)

General and administrative expenses

20,634

Depreciation and amortization expenses

8,609

Total costs and expenses from operations

194,443

Income from operations

Income before income taxes

12,506

Income tax provision

4,690

Net Income 7,816

Name:



Ratio	Formula	Peet's Coffee & Tea, Inc.

Current Ratio	Current Assets		=	#DIV/0!
Current Ratio	Current Liabilities		=	#DIV/0!

Quick Ratio	Current Assets - Inventories		=	#DIV/0!
Quick Ratio	Current Liabilities		=	#DIV/0!

EBITDA Margin	EBITDA		=	#DIV/0!
EBITDA Margin	Sales		=	#DIV/0!

Operating Margin	Operating Income		=	#DIV/0!
Operating Margin	Sales			#DIV/0!

Net Profit Margin	Net Income		=	#DIV/0!
Net Profit Margin	Sales		=	#DIV/0!

Earnings Per Share	Net Income		=	#DIV/0!	Per Share
Earnings Per Share	Avg. Shares Outstanding		=	#DIV/0!	Per Share

Accounts Rec. Days	Accounts Receivable		=	#DIV/0!	Days
Accounts Rec. Days	Avg. Daily Sales		=	#DIV/0!	Days

Accounts Payable Days	Accounts Payable		=	#DIV/0!	Days
Accounts Payable Days	Avg. Daily COGS		=	#DIV/0!	Days

Inventory Days	Inventory		=	#DIV/0!	Days
Inventory Days	Avg. Daily COGS		=	#DIV/0!	Days

Times Interest Earned	EBITDA		=	#DIV/0!	X
Times Interest Earned	Interest Expense		=	#DIV/0!	X

crimsonant453

ACTG 2200 Study Guide - Final Guide: Current Liability, Accounts Receivable, Interest Expense

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