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alt="Screenshot 2020-01-25 20.08.37.png" />I am missing Return on Assets, Return on Capital and Operating profit margin. Can you show me a step by step on how to complete the last 3. I do not understand the math behind it. Attachment 1 Attachment 2 ATTACHMENT PREVIEW Download attachment Screenshot 2020-01-25 20.07.20.png Here are simpliﬁed ﬁnancial statements for Phone Corporation in a recent year: INCOME STATEMENT (Figures in \$ millions) Net sales \$13,300 Cost of goods sold 4,160 Other expenses 4,087 Depreciation 2,578 Earnings before interest and taxes (EBIT) \$ 2,475 Interest expense 695 Income before tax \$ 1,780 Taxes (at 30%) 534 Net income \$ 1,246 Dividends \$ 375 BALANCE SHEET (Figures in \$ millions) End of Start of Year Year Assets Cash and marketable securities \$ 91 \$ 160 Receivables 2,482 2,530 Inventories 197 248 Other current assets 877 942 Total current assets \$ 3,647 \$ 3,880 Net property, plant, and equipment 19,993 19,935 Other long—term assets 4,236 3,790 Total assets \$ 27,876 \$ 27,605 Liabilities and shareholders' equity Payables \$ 2,584 \$ 3,060 Short—term debt 1,429 1,583 Other current liabilities 821 797 Total current liabilities \$ 4,834 \$ 5,440 Long-term debt and leases 6,520 6,475 Other long—term liabilities 6,198 6,169 Shareholders' equity 10,324 9,521 Total liabilities and shareholders' equity \$ 27.875 \$ 27.505 [— ATTACHMENT PREVIEW Download attachment Screenshot 2020-01-25 20.08.37.png Calculate the following financial ratios for Phone Corporation: (Use 365 days in a year. Do not round intermediate calculations. Round your final answers to 2 decimal places.) a. Return on equity (use average balance sheet figures) 15.84 % b. Return on assets (use average balance sheet figures) :% C. Return on capital (use average balance sheet figures) % Days in inventory (use start-of-year balance sheet figures) 21.76 days e. Inventory turnover (use start-of-year balance sheet figures) 16.77 f. Average collection period (use start-of-year balance sheet figures) 69.43 days g. Operating profit margin % h. Long-term debt ratio (use end-of-year balance sheet figures) 0.39 i. Total debt ratio (use end-of-year balance sheet figures) 0.63 j. Times interest earned 3.56 k. Cash coverage ratio 7.27 1. Current ratio (use end-of-year balance sheet figures) 0.75 m. Quick ratio (use end-of-year balance sheet figures) 0.53

(A) Return on assets = 4.49% (B)... View the full answer

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