Exercise 12.01 – Matching
Financial Accounting
Spiceland, Thomas, and Herrman
05th Edition and 06th Edition
Matching using these terms and descriptions.
Matching using these terms and descriptions.
Prepare a vertical analysis of the data.
Prepare a vertical analysis for two years using a base year.
Prepare a vertical analysis of the balance sheet data and a horizontal analysis for the second year using the first year as the base year.
Calculate the four risk ratios. Is the company more or less risky? Explain.
Calculate the five profitability ratios. Is the company more or less profitable than the industry average?
Calculate the risk ratios, receivable turnover ratio, inventory turnover ratio, current ratio, acid-test ratio, and debt to equity ratio.
Calculate the profitability and determine if one can have a higher return on assets
Calculate profitability ratios and determine the amount of dividends paid.
Calculate the return on assets.