Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer...

Question

Question

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer...

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer the requirements ($ millions).

Sales					$14,095
Depreciation expense					560
Tax expense					376
Interest expense, gross					153
Earnings from continuing operations (Net income)					600
EBITA					1,117
Cash					595
Average total assets					8,472
Total debt					2,805
Noncurrent deferred tax liabilities					324
Noncontrolling interest					0
Equity					871
Dividends paid					1,185
Cash from operating activities					2,451

a. Compute the following seven Moody’s metrics for Nordstrom. See Appendix 4A for definitions.

Round answers to one decimal place (example for percentage answers: 0.2345 = 23.5%).

Ratio			2016
EBITA to average assets			%
Operating margin			%
EBITA margin			%
EBITA interest coverage
Debt to EBITDA
Debt to book capitalization			%
Retained cash flow to net debt			%

business accounting

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Add a comment

Answer 2

Similar Homework Help Questions

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer...

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer the requirements ($ millions). Sales $14,095 Depreciation expense 560 Tax expense 376 Interest expense, gross 153 Earnings from continuing operations (Net income) 600 EBITA 1,117 Cash 595 Average total assets 8,472 Total debt 2,805 Noncurrent deferred tax liabilities 324 Noncontrolling interest 0 Equity 871 Dividends paid 1,185 Cash from operating activities 2,451 a. Compute the following seven Moody’s metrics for Nordstrom. See Appendix 4A...
Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Nordstrom Inc.’s...

Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer the requirements ($ millions). Sales $14,095 Depreciation expense 560 Tax expense 376 Interest expense, gross 153 Earnings from continuing operations (Net income) 600 EBITA 1,117 Cash 595 Average total assets 8,472 Total debt 2,805 Noncurrent deferred tax liabilities 324 Noncontrolling interest 0 Equity 871 Dividends paid 1,185 Cash from operating activities 2,451 a. Compute the following...
Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer...

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer the requirements ($ millions). 1,325 Sales $15,208 Depreciation expense 584 Tax expense 400 Interest expense, gross 177 Earnings from continuing operations (Net income) 736 EBITA Cash 619 Average total assets 9,585 Total debt 2,965 Noncurrent deferred tax liabilities 436 Noncontrolling interest Equity 871 Dividends paid 1,185 Cash from operating activities 2,451 a. Compute the following seven Moody's metrics for Nordstrom. See Appendix 4A for...

Question 3 Partially correct Mark oso out of 4.00 Flag question Sales Assigning a Long-Term Debt...

Question 3 Partially correct Mark oso out of 4.00 Flag question Sales Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Nordstrom Inc.'s 2016 financial statements. Use the information to answer the requirements (5 millions) $14,095 Depreciation expense 560 Tax expense 376 Interest expense, grass Earnings from continuing operations (Net incomel 600 EBITA Casit 595 Average total assets Total debi 8,072 2.805 Equity 1.185 Noncurrent deferred tax liabilities Noncontrolling interest 871 Dividends paid Cash from...
Balance sheets and income statements for Nordstrom, Inc., follow. Refer to these financial statements to answer the requ...

Balance sheets and income statements for Nordstrom, Inc., follow. Refer to these financial statements to answer the requirements. Nordstrom, Inc. Consolidated Statements of Earnings For Fiscal Years Ended ($ millions) 2016 2015 2014 Net Sales $14,095 $13,110 $12,166 Credit card revenues 342 396 374 Total revenues 14,437 13,506 12,540 Cost of sales and related buying and occupancy costs (9,168) (8,406) (7,737) Selling, general and administrative expenses (4,168) (3,777) (3,453) Earnings before interest and income taxes 1,101 1,323 1,350 Interest expense,...
Sales $15,093 Depreciation expense 578 Tax expense 394 Interest expense, gross 171 Earnings from continuing operations...

Sales $15,093 Depreciation expense 578 Tax expense 394 Interest expense, gross 171 Earnings from continuing operations (Net income) 685 EBITA 1,256 Cash 613 Average total assets 9,470 Total debt 2,908 Noncurrent deferred tax liabilities 391 Noncontrolling interest 0 Equity 871 Dividends paid 1,185 Cash from operating activities 2,451 how to calulate (round to one decimal place) 1. ebita to average assets 2.operating margin 3.debt to ebita 4.debt to book capitalization 5.retained cash flows to net debt

Analysis and Interpretation of Profitability Balance sheets and income statements for Nordstrom, Inc., follow. Refer to...

Analysis and Interpretation of Profitability Balance sheets and income statements for Nordstrom, Inc., follow. Refer to these financial statements to answer the requirements. Nordstrom, Inc. Consolidated Statements of Earnings For Fiscal Years Ended ($ millions) 2016 2015 2014 Net Sales $14,095 $13,110 $12,166 Credit card revenues 342 396 374 Total revenues 14,437 13,506 12,540 Cost of sales and related buying and occupancy costs (9,168) (8,406) (7,737) Selling, general and administrative expenses (4,168) (3,777) (3,453) Earnings before interest and income taxes...
Nordstrom, Inc. Consolidated Statements of Earnings For Fiscal Years Ended ($ millions) 2016 2015 2014 Net...

Nordstrom, Inc. Consolidated Statements of Earnings For Fiscal Years Ended ($ millions) 2016 2015 2014 Net Sales $14,095 $13,110 $12,166 Credit card revenues 342 396 374 Total revenues 14,437 13,506 12,540 Cost of sales and related buying and occupancy costs (9,168) (8,406) (7.737) Selling, general and administrative expenses (4,168) (3,777) (3,453) Earnings before interest and income taxes 1,101 1,323 1,350 Interest expense, net (125) (138) (161) Earnings before income taxes 976 1,185 1,189 Income tax expense (376) (465) (455) Net...
Please correct all the x Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the...

Please correct all the x Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Stryker's 2018 financial statements. Use the information to answer the requirements ($ millions). Revenue $13,601 Interest expense, gross $181 Depreciation expense 306 Dividends, including to noncontrolling interest 717 Amortization expense 417 Cash and cash equivalents 3,616 Operating profit (EBIT) 2,537 Marketable securities 83 Total debt 9,859 Average assets 24,713 Cash from operating activities 2,610 CAPEX 572 Funds from operations 2,852 a....

Calculating Ratios and Estimating Credit Rating The following data are from Kellogg’s 10-K report dated December...

Calculating Ratios and Estimating Credit Rating The following data are from Kellogg’s 10-K report dated December 29, 2018 ($ millions). Revenue $13,547 Earnings from continuing operations $1,344 Interest expense 287 Capital expenditures (CAPEX) 578 Tax expense 181 Total debt 8,893 Amortization expense 23 Average assets 17,066 Depreciation expense 493 a. Use the data above to calculate the following ratios: EBITA/Average assets, EBITA Margin, EBITA/ Interest expense, Debt/EBITDA, CAPEX/Depreciation Expense. Definitions for these ratios are in Exhibit 7.4. b. Refer to...

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer...

Homework Answers