Milestone 2

Module 2 pertains to CLO 2, Assessing Financial Statements.

In this assignment you are asked to open the Excel Spreadsheet for YP Enterprises (March 2019) and complete the section entitled Ratios 2019 (highlighted in yellow).  This will require you to calculate the specified ratios using the information provided. Be certain to show your formulas.  All information can be found on the income statement and balance sheet included within the

spreadsheet

.

A
1 YP Enterprises
2
3 Net sales
4 EBIT
5 Interest
6 Taxes
7 Net profit
8 Earnings per share
9 Current assets
10 Net fixed assets
11 Total assets
12 Current liabilities
13 Long-term debt
14 Shareholders’ equity
15 Number of stores
16 Employees
17
18 Times interest earned
19 Long-term debt-equity ratio
20 Total debt ratio
21 Current ratio
22 NWC/Total assets
23 Asset turnover ratio
24 Operating profit margin
25 ROA
26 ROE
B
C
D
E
F
G
2019
3,351
-9
37
3
-49
-0.15
669
923
1,592
680
236
676
240
13,057
2018
3,314
312
63
60
189
0.55
469
780
1,249
365
159
725
221
11,835
2017
2,845
256
65
46
145
0.44
491
753
1,244
348
297
599
211
9,810
2016
2,796
243
58
43
142
0.42
435
680
1,115
302
311
502
184
9,790
2015
2,493
212
48
39
125
0.37
392
610
1,002
276
319
407
170
9,075
2014
2,160
156
46
34
76
0.25
423
536
959
320
315
324
157
7,825
-0.243
0.349
0.575
0.984
-0.007
2.359
-0.004
-0.008
-0.070
4.952
0.219
0.420
1.285
0.083
2.659
0.076
0.202
0.285
3.938
0.496
0.518
1.411
0.115
2.412
0.074
0.178
0.263
4.190
0.620
0.550
1.440
0.119
2.641
0.072
0.189
0.312
4.417
0.784
0.594
1.420
0.116
2.543
0.069
0.176
0.342
3.391
0.972
0.662
1.322
0.107
0.056
A
B
C
27
28 INCOME STATEMENT, March 31, 2019
29 Net sales
3,351
30 Cost of goods sold
1,990
31 S, G & A expenses
1,211
32 Depreciation expense
159
33 EBIT
-9
34 Net interest expense
37
35 Taxable income
-46
36 Income taxes
3
37 Net Income
-49
38
Addition to RE
-49
39
Dividends
0
40
41 BALANCE SHEET
March 31, March 31,
42 Assets
2019
2018
43 Current assets
44 Cash & securities
14
72
45 Receivables
176
194
46 Inventories
479
203
47
Total current assets
669
469
48
49 Fixed Assets
50 PP&E(net of depreciation)
1,077
910
51 Less accumulated depreciation
154
130
52
Net fixed assets
923
780
53
54 Total Assets
1,592
1,249
55
56 Liabilities and Shareholders’ Equity
57 Current Liabilities
58 Debt due for repayment
484
222
59 Accounts payable
94
58
60 Other current liabilities
102
85
61
Total current liabilities
680
365
62
63 Long-term debt
236
159
64
65 Stockholders’ equity
66
Common stock+paid-in capital
155
155
67
Retained earnings
521
570
68
Total stockholders’ equity
676
725
69
Total liabilities + Stk Eq
1,592
1,249
D
E
F
Times interest earned
Cash coverage ratio
Debt-equity ratio
Total debt ratio
Current ratio
Quick ratio
Cash ratio
NWC/Total assets
Asset turnover
Avg. collection period
Inventory turnover
Days’ sales in inventories
Operating profit margin
ROA
ROE
G
H
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
I
H
27
28 Ratios, 2019
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
I