FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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2) Ratios 

Based on the information given in picture #1, complete the following ratios for the last TWO  years and indicate whether the trend is favorable or unfavorable. Note percentages and times should be to one decimal place (e.g. 14.8%; 5.8x)

Profitability Ratios                          Current Yr.  Prior Yr.   Fav/Unfav.

Gross Margin (%)

{Gross Income/Sales Revenue}

 

Profit Margin (%)

{Net income/ Sales Revenue}

 

Return on Assets (%)

{Net Income/ Average Total Assets}    

2- Ratios
Complete the following ratios for the last TWO years and indicate whether the trend is favorable
or unfavorable. Note percentages and times should be to one decimal place (e.g. 14.8%; 5.8X).
FAVORABLE
Current Year
(G)
Prior Year
(C)
(UNFAVORABLE)
Profitability Ratios
Gross Margin (%)
{Gross Income / Sales Revenue}
Profit Margin (%)
{Net Income / Sales Revenue}
Return on Assets (%)
{Net income / Average Total Assets}
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Transcribed Image Text:2- Ratios Complete the following ratios for the last TWO years and indicate whether the trend is favorable or unfavorable. Note percentages and times should be to one decimal place (e.g. 14.8%; 5.8X). FAVORABLE Current Year (G) Prior Year (C) (UNFAVORABLE) Profitability Ratios Gross Margin (%) {Gross Income / Sales Revenue} Profit Margin (%) {Net Income / Sales Revenue} Return on Assets (%) {Net income / Average Total Assets}
1- Key Statistics: (OMIT ALL ZEROS 000): if none, leave blank
Income Statement
Prior Year
623 M
Current Year
Increase(Decrease)
2651M
+ £2028
% 325.81%.
Sales/Revenue
926m
705.22%.
Cost of Goods Sold
1725 M
507m m$1218
239.571.
Gross Income
Net Income
End of
Increase (Decrease)
S.
End of
Balance Sheet
Current Year
Prior Year
4295M
9 04 m +$339l 375.17
Cash & Short-term investments
Total Accounts Receivable
295M
145.837.
120m +$175
Invehtories
1,OSIM 360s 343.01%.
126m rý122 96.83%.
Total Current Assets
4656m
Net Property, Plant & Equipment 24 8m
Intangible Assets
35M
N IA
Total Assets
5,298M
129 0m tf4008 310.701.
Accounts Payable
3507.
Total Current Liabilities
126 0m
1437m
334 m r926 277.25.
456m 9 215.13%.
834m 3027 362.951.
Total Liabilities
Total Shareholders' Equity
3861 m
*$3027
Asset Composition:
End of Current Year
Largest Assets: (from above)
Cah + short term
nrestments
tutal accounts
e_receivable
ret property,
% of Total Assets
4,295
295
248
81.077.
S. 57%.
Plaht'i
equip ment
4.68 7.
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Transcribed Image Text:1- Key Statistics: (OMIT ALL ZEROS 000): if none, leave blank Income Statement Prior Year 623 M Current Year Increase(Decrease) 2651M + £2028 % 325.81%. Sales/Revenue 926m 705.22%. Cost of Goods Sold 1725 M 507m m$1218 239.571. Gross Income Net Income End of Increase (Decrease) S. End of Balance Sheet Current Year Prior Year 4295M 9 04 m +$339l 375.17 Cash & Short-term investments Total Accounts Receivable 295M 145.837. 120m +$175 Invehtories 1,OSIM 360s 343.01%. 126m rý122 96.83%. Total Current Assets 4656m Net Property, Plant & Equipment 24 8m Intangible Assets 35M N IA Total Assets 5,298M 129 0m tf4008 310.701. Accounts Payable 3507. Total Current Liabilities 126 0m 1437m 334 m r926 277.25. 456m 9 215.13%. 834m 3027 362.951. Total Liabilities Total Shareholders' Equity 3861 m *$3027 Asset Composition: End of Current Year Largest Assets: (from above) Cah + short term nrestments tutal accounts e_receivable ret property, % of Total Assets 4,295 295 248 81.077. S. 57%. Plaht'i equip ment 4.68 7.
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