Assignment
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OSBORNE COMPANY
Income Statements
For the Years Ended December 31
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|
2014
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2013
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|
Net sales
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$1,896,280
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$1,756,240
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|
Cost of goods sold
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1,064,280
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1,011,740
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|
Gross profit
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832,000
|
744,500
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|
Selling and administrative expenses
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505,740
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484,740
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|
Income from operations
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326,260
|
259,760
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Other expenses and losses
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|
|
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Interest expense
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23,764
|
21,764
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|
Income before income taxes
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302,496
|
237,996
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|
Income tax expense
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93,764
|
74,764
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|
Net income
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$ 208,732
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$ 163,232
|
|
OSBORNE COMPANY
Balance Sheets
December 31
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Assets
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2014
|
2013
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Current assets
|
|
|
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Cash
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$ 60,100
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$ 64,200
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Debt investments (short-term)
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74,000
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50,000
|
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Accounts receivable
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123,540
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108,540
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Inventory
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127,764
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117,264
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Total current assets
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385,404
|
340,004
|
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Plant assets (net)
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659,814
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531,114
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Total assets
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$1,045,218
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$871,118
|
|
Liabilities and Stockholders' Equity
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|
|
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Current liabilities
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|
|
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Accounts payable
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$ 165,740
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$151,140
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Income taxes payable
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45,264
|
43,764
|
|
Total current liabilities
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211,004
|
194,904
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Bonds payable
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230,814
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210,814
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Total liabilities
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441,818
|
405,718
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Stockholders' equity
|
|
|
|
Common stock ($5 par)
|
290,000
|
300,000
|
|
Retained earnings
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313,400
|
165,400
|
|
Total stockholders' equity
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603,400
|
465,400
|
|
Total liabilities and stockholders' equity
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$1,045,218
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$871,118
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All sales were on account. Net cash provided by operating activities for 2014 was $238,520. Capital expenditures were $136,680, and cash dividends were $60,732.
Compute the following ratios for 2014.(Round all answers to 2 decimal places, e.g. 1.83 or 12.61%.)
(a) Earnings per share
(b) Return on common stockholders' equity
(c) Return on assets
(d) Current ratio
(e) Accounts receivable turnover times
(f) Average collection period days
(g) Inventory turnover times
(h) Days in inventory days
(i) Times interest earned times
(j) Asset turnover times
(k) Debt to assets
(l) Current cash debt coverage times
(m) Cash debt coverage times
(n)Free cash flow.