Calculate the financial indicators of the firms J&J for the year 2018 and fill in the spaces marked in the table. Company Name:   Year 2018 Chemicals and Allied Products Industry Ratios  ………….. Solvency or Debt Ratios Merck J&J 2018 Debt ratio   ….   …. 0.47 Debt-to-equity ratio   ….   …. 0.38 Interest coverage ratio   ….   …. -9.43 Liquidity Ratios       Current ratio   ….   …. 3.47 Quick ratio   ….   …. 2.12 Cash ratio   ….   …. 2.24 Profitability Ratios       Profit margin   ….   …. -93.4% ROE (Return on equity), after tax   ….   …. -248.5 ROA (Return on assets)   ….   …. -146.5 Gross margin   ….   …. 55.3% Operating margin (Return on sales)   ….   …. -42.9% Activity or Efficiency Ratios       Asset turnover   ….   …. 1.08 Receivables turnover (days)   ….   …. 16 Inventory turnover (days)   ….   …. 36 Price Ratios       Dividend Payout Ratio   ….   …. 0.15   Financial Statements   Johnson & Johnson (JNJ) Balance Sheet    December 31, 2018 ($ in millions)   ASSETS   Current Assets   Cash, cash equivalents and short-term investments $19,687 Receivables 14,098 Inventory 9,549 Other current assets 2,699 Total Current Assets: 46,033 Noncurrent Assets   Property, plant and equipment, net 17,035 Net Intangible assets (including goodwill) 78,064 Other noncurrent assets 11,822 Total Noncurrent Assets: 106,921 TOTAL ASSETS: $152,954 LIABILITIES AND EQUITY   Liabilities    Current Liabilities   Accounts Payable 7,537 Accrued liabilities 11,517 Short term debt 2,800 Other noncurrent liabilities 9,376 Total current liabilities: 31,230 Noncurrent Liabilities   Long-term debt and lease obligation 27,684 Liabilities, other than long-term debt (pension, deferred tax, other) 34,288 Total noncurrent liabilities: 61,972 TOTAL LIABILITIES: 93,202 Stockholders’equity        Common stock 3,120      Treasury stock, value -34,362      Accumulated other comprehensive loss -15,222      Retained earnings 106,216 Total stockhholders’equity 59,752 Total Liabilities and Stockholders’Equity: $152,954     Johnson & Johnson (JNJ) Income Statement For period ending December 31, 2018 ($ in millions)     Revenues   Revenues, net $81,581 Cost of Revenue -27,091 Gross profit: 54,490 Operating Expenses -34,692 Operating Income: 19,798 Nonoperating income (expense) -794 Interest and debt expense -1,005 Income from continuing operations before income taxes: 17,999      Income tax expense -2,702 Net Income available to stockholder $15,297 Dividends paid to Stockholders -9,494 Retained Earnings $5,803

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Calculate the financial indicators of the firms J&J for the year 2018 and fill in the spaces marked in the table.

Company Name:

 

Year 2018

Chemicals and Allied Products Industry Ratios

 …………..

Solvency or Debt Ratios

Merck

J&J

2018

Debt ratio

  ….

  ….

0.47

Debt-to-equity ratio

  ….

  ….

0.38

Interest coverage ratio

  ….

  ….

-9.43

Liquidity Ratios

 

 

 

Current ratio

  ….

  ….

3.47

Quick ratio

  ….

  ….

2.12

Cash ratio

  ….

  ….

2.24

Profitability Ratios

 

 

 

Profit margin

  ….

  ….

-93.4%

ROE (Return on equity), after tax

  ….

  ….

-248.5

ROA (Return on assets)

  ….

  ….

-146.5

Gross margin

  ….

  ….

55.3%

Operating margin (Return on sales)

  ….

  ….

-42.9%

Activity or Efficiency Ratios

 

 

 

Asset turnover

  ….

  ….

1.08

Receivables turnover (days)

  ….

  ….

16

Inventory turnover (days)

  ….

  ….

36

Price Ratios

 

 

 

Dividend Payout Ratio

  ….

  ….

0.15

 

Financial Statements

 

Johnson & Johnson (JNJ) Balance Sheet

 

 December 31, 2018 ($ in millions)

 

ASSETS

 

Current Assets

 

Cash, cash equivalents and short-term investments

$19,687

Receivables

14,098

Inventory

9,549

Other current assets

2,699

Total Current Assets:

46,033

Noncurrent Assets

 

Property, plant and equipment, net

17,035

Net Intangible assets (including goodwill)

78,064

Other noncurrent assets

11,822

Total Noncurrent Assets:

106,921

TOTAL ASSETS:

$152,954

LIABILITIES AND EQUITY

 

Liabilities 

 

Current Liabilities

 

Accounts Payable

7,537

Accrued liabilities

11,517

Short term debt

2,800

Other noncurrent liabilities

9,376

Total current liabilities:

31,230

Noncurrent Liabilities

 

Long-term debt and lease obligation

27,684

Liabilities, other than long-term debt (pension, deferred tax, other)

34,288

Total noncurrent liabilities:

61,972

TOTAL LIABILITIES:

93,202

Stockholders’equity

 

     Common stock

3,120

     Treasury stock, value

-34,362

     Accumulated other comprehensive loss

-15,222

     Retained earnings

106,216

Total stockhholders’equity

59,752

Total Liabilities and Stockholders’Equity:

$152,954

 

 

Johnson & Johnson (JNJ) Income Statement

For period ending December 31, 2018 ($ in millions)

   

Revenues

 

Revenues, net

$81,581

Cost of Revenue

-27,091

Gross profit:

54,490

Operating Expenses

-34,692

Operating Income:

19,798

Nonoperating income (expense)

-794

Interest and debt expense

-1,005

Income from continuing operations before income taxes:

17,999

     Income tax expense

-2,702

Net Income available to stockholder

$15,297

Dividends paid to Stockholders

-9,494

Retained Earnings

$5,803

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expert Solution
steps

Step by step

Solved in 2 steps with 2 images

Blurred answer
Knowledge Booster
Ratio Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education