Which of the following is not a liquidity ratio? Select one: O a. Current ratio b....
Which one of the following will increase the current ratio but not the quick ratio? O increase in inventory O decrease in cash O increase in accounts payable decrease in accounts receivable Welcome Inn has total equity of $471.000 and a debt-equity ratio of .54. What is the firm's equity multiplier? O 1.54 O 1.40 ○ .46 O 185 The debt-equity ratio is equal to which one of the following? O Equity multiplier + 1 O Long-term debt / Total...
Which of the following ratios are measures of a firm's short-term liquidity? 1. Cash coverage ratio. II. Interval measure. III. Debt-equity ratio. IV. Quick ratio. V. Fixed asset turnover
Which of the following would be considered liquidity or short-term solvency ratios? quick ratio; cash ratio. quick ratio; times interest earned ratio (TIE). current ratio; long-term debt ratio. current ratio; inventory turnover ratio;
36. The most common measure of short-term liquidity is the a. acid-test. b. current ratio. c. quick ratio. d. working capital. 37. The acid-test is calculated as Cash + Cash Equivalents + Accounts Receivable Current Liabilities Cash + Cash Equivalents + Inventory + Accounts Receivable Current Liabilities Cash + Cash Equivalents + Accounts Receivable Current Assets Cash + Cash Equivalents + Inventory + Accounts Receivable Current Assets 38. A high inventory turnover might signal a. a problem with old and...
Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for Starbucks for 2018 and 2017 follows. ($ millions) Cash 2018 2017 $ 8,756.3 $2,462.3 181.5 228.6 Short-term investments Accounts receivable 693.1 870.4 Current assets 12,494.2 5,283.4 5,684.2 4,220.7 349.9 Current liabilities Short-term debt Long-term debt Total liabilities Interest expense Capital expenditures Equity Cash from operations Earnings before interest and taxes 9,090.2 3,932.6 22,980.6 8,908.6 170.3 92.5 1,976.4 1,519.4 1,175.8 5,457.0 11,937.8 4,251.8 3,883.3 4,134.7...
Please help me create a financial analysis out of this: Liquidity Ratio YEAR ONE YEAR TWO Current Ratio 2.82 2.55 Quick Ratio 1.46 1.58 Cash Ratio 0.47 0.65 Networking Capital to Total Asset 0.41 0.48 Activity Ratio YEAR ONE YEAR TWO Inventory Turnover 8.00 4.83 Average days Inventory 45.00 74.54 Asset Turnover 3.70 2.15 Receivable Turnover 20.80 9.67 Average days Receivable 17.31...
Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for Calpine Corporation for 2004 and 2006 follows. ($ millions) 2004 2006 Cash $ 1,256.73 $ 1,523.36 Accounts receivable 1,097.16 735.30 Current assets 3,313.56 3,268.33 Current liabilities 3,285.39 6,057.95 Long-term debt 17,150.81 3,531.63 Short-term debt 1,033.96 4,568.83 Total liabilities 22,898.42 25,503.17 Interest expense 1,516.90 1,288.29 Capital expenditures 1,545.48 211.50 Equity 4,587.67 (7,152.90) Cash from operations 19.89 335.98 Earnings before interest and taxes 1,659.84 1,907.84 (a)...
11.Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for Calpine Corporation for 2004 and 2006 follows. ($ millions) 2004 2006 Cash $ 1,376.73 $ 1,503.36 Accounts receivable 1,097.16 735.30 Current assets 3,563.56 3,168.33 Current liabilities 3,285.39 6,057.95 Long-term debt 16,940.81 3,351.63 Short-term debt 1,033.96 4,568.83 Total liabilities 22,628.42 25,743.17 Interest expense 1,516.90 1,288.29 Capital expenditures 1,545.48 211.50 Equity 4,587.67 (7,152.90) Cash from operations 9.89 155.98 Earnings before interest and taxes 1,589.84 1,877.84 (a)...
Compute and Interpret Coverage, Liquidity and Solvency Ratios Selected balance sheet and income statement information from Amazon for 2016 through 2018 follows. $ millions 2018 2017 2016 Net operating profit after tax (NOPAT) $10,978 $3,222 $2,556 Net income 10,073 3,033 2,371 Operating profit 12,421 4,106 4,186 Interest expense 1,417 848 484 Cash from operating activities 30,723 18,365 17,203 Current assets 75,101 60,197 45,781 Current liabilities 68,391 57,883 43,816 Cash and cash equivalents 31,750 20,522 19,334 Marketable securities 9,500 10,464 6,647...
Indicate what is meant by the following ratio calculations. 1. Liquidity Ratios Current Ratio = Current Assets Current Liabilities = 515800 626900 = 0.82 : 1 Quick Ratio = Quick Assets Current Liabilities = 42700 + 205800 626900 = 0.40 Cash Ratio = Cash & Cash Equivalents Current Liabilities = 42700 626900 = 0.0681 : 1 2. Turnover / Activity Ratios Inventory Turnover = COGS Average Inventories...