Managerial Accounting
15th Edition
ISBN: 9781337912020
Author: Carl Warren, Ph.d. Cma William B. Tayler
Publisher: South-Western College Pub
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Textbook Question
Chapter 16, Problem 2TIF
Real-world annual report
The financial statements for Nike, Inc. (NKE), are presented in Appendix E at the end of the text. The following additional information is available (in thousands):
Instructions
- 1. Determine the following measures for the fiscal years ended May 31, 2017, and May 31, 2016. Round ratios and percentages to one decimal place.
- a.
Working capital - b.
Current ratio - c. Quick ratio
- d.
Accounts receivable turnover - e. Number of days’ sales in receivables
- f. Inventory turnover
- g. Number of days’ sales in inventory'
- h. Ratio of liabilities to stockholders’ equity
- i. Asset turnover
- j. Return on total assets, assuming interest expense is $82 million for the year ending May 31. 2017, and $33 million for the year ending May 31, 2016.
- k. k. Return on common stockholders’ equity
- l. Price-eamings ratio, assuming that the market price was $52.81 per share on May 31, 2017, and $54.35 per share on May 31, 2016.
- m. m. Percentage relationship of net income to sales
- 2. What conclusions can be drawn from these analyses?
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FINANCIAL RATIO:
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FINANCIAL RATIO:
Requirement: Compute for the following financial ratios for the year 2021 (round-off answers to two decimal places)
a. Current ratio
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f. Accounts receivable turnover (assume all sales are on credit)
g. Days of receivable (use 365 days)
h. Debt ratio
i. Equity ratio
j. Debt-to-equity ratio
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FINANCIAL RATIO:
Requirement: Compute for the following financial ratios. for the year 2021 (round-off answers to two decimal places)
d. Inventory turnover
e. Days of inventory (use 365 days)
f. Accounts receivable turnover (assume all sales are on credit)
g. Days of receivable (use 365 days)
h. Debt ratio
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Chapter 16 Solutions
Managerial Accounting
Ch. 16 - Prob. 1DQCh. 16 - What is the advantage of using comparative...Ch. 16 - Prob. 3DQCh. 16 - Prob. 4DQCh. 16 - Prob. 5DQCh. 16 - What do the following data, taken from a...Ch. 16 - Prob. 7DQCh. 16 - Prob. 8DQCh. 16 - The dividend yield of Suburban Propane Partners,...Ch. 16 - Prob. 10DQ
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