Question

Balance Sheet All numbers in thousands A Get access to 15+ years of historical data with Yahoo Financ Breakdown 12/31/2019 v Assets v Current Assets v Cash Cash And Cash Equivalents 2,594,000 Short Term Investments Total Cash 2,594,000 Net Receivables 25,429,000 Inventory 1,422,000 Other Current Assets Total Current Assets 37,473,000

Given the Balance Sheet and Income Statement calculate the follow ratios (must include calculations):

profit ratio, liquidity ratio, activity ratio, leverage ratio, shareholder return ratio

Answer 1

Profit ratios:
gross profit margin	(gross profit / sales)*100
gross profit	77142000
sales	131868000
gross profit margin	58.50%
operating profit margin	(operating profit / sales)*100
operating profit	30564000
sales	131868000
operating profit margin	23.18%
net profit margin	(net income / sales)*100
net income	19265000
sales	131868000
net profit margin	14.61%
Liquidity ratios:
current ratio	current assets / current liabilities
current assets	37473000
current liabilities	44868000
current ratio	0.84
quick ratio	cash+net receivable / current liabilities
cash	2594000
net receivable	25429000
total	28023000
current liabilities	44868000
quick ratio	0.62
cash ratio	(cash and cash equivalent + short term investments) / current liabilities
cash and cash equivalent	2594000.00
current liabilities	44868000
cash ratio	0.06
Activity ratios:
receivable turnover ratio	sales / ending receivable
sales	131868000
ending receivable	25429000
receivable turnover ratio	5.19
days sales outstanding	365 days / receivable turnover ratio
receivable turnover ratio	5.19
days sales outstanding	70.33
inventory turnover ratio	cost of goods sold / ending inventory
cost of goods sold	54726000
ending inventory	1422000
inventory turnover ratio	38.49
inventory days	365 days / inventory turnover
inventory turnover	38.49
inventory days	9.48
Leverage ratios:
debt ratio	total debt / total assets
long-term debt	100712000
total assets	291727000
debt ratio	0.35
debt-to-equity	total debt / total equity
long-term debt	100712000
total equity	61395000
debt-to-equity	1.64
shareholder return ratio	net income / total equity
net income	19265000
total equity	61395000
shareholder return ratio	0.31