Question

Balance Sheet Ratios for 2004 and 2005

1. Calculate the Current Ratio
2. Calculate the Book Debt to Equity Ratio
3. Calculate the Market Debt to Equity Ratio (Use Book Value of Debt and Market Capitalization using basic shares outstanding and assuming stock prices of $56.89/share in 2005 and $58.93/share in 2004.)
4. Calculate the Enterprise Value of Clorox using the Market Capitalization from above.

Yours ended June 30 (dollars in milions, except per share amounts) 2005 2004 2003 $ Net sales Cost of products sold 4,388 2.493 4,162 2,331 3.986 2.171 1,895 1,831 543 1,815 523 Gross profit Soling and administrative exponses Advertising costs Research and development costs Restructuring and asset impairment costs Interest expense Other (incomo) cxponse: Equity carnings and gain on exchange of Honkal borica, S.A. Other, net Earnings from continuing operations before income taxes Income taxes on continuing operations Reversal of deferred taxes from equity investment in Henkel Iberica, S.A Earnings from continuing operations Discontinued operations: Gain on exchange Earnings from exchanged businesses Reversal of deferred taxes from exchanged businesses Losses from Brazil operations Income tax expense on discontinued operations Earnings from discontinued operations 579 Not carnings $ 1,096 $ 549 $ 493 Earnings per common share Basic Continuing operations Discontinued operations Basic not carnings por common sharo $ 2.31 $ 2.92 3.28 6.20 028 2.11 0.15 226 2.50 $ $ $ Diluted Continuing operations Discontinued operations Diluted not carnings por common sharo 2.88 3.23 6.11 2.28 0.28 2.56 2.08 0.15 223 $ $ $ Weighted average common shares outstanding (in thousands) Basic Diluted 176,586 179,176 211,683 214,371 218,174 220,692

Answer 1

uta 44. $ 4: vs Hold Thal S Sidoti mely 179 -ca 4..1944 - 4 C / 2 - .2014 A L -15 strahy As a 30 05 Tegal lotilities a & UiTOM Market value o equiry :- $ 56.39 x 1,158606-98/362) CE 9 x 9442390 - 441259M Man Set to Silat Talib isa laha a foly 429 13:29 Masket Debt he dulo Muy wity Radio 4170M $146254 M+4170M 0. وا ه ونعم البيت باقيله ل له فيها طلعداد : هم