5. See the below table for the Dog Voices Corporation (DVC): a. Pick any three (3) ratios and explain on the strengths and weaknesses of its performance from 2020 to 2021. Type out the answers in the Excel answer sh b. Then, pick any three (3) other ratios, and compare DVC in 2021 to the industry. Ratio Analysis 2021 2020 Industry Avga Liquidity Current ratio 2.33 2.11 2.7 Acid-Test Ratio 0.85 0.69 1.36 Asset Management Inventory turnoverb 5.74 4.47 7.0 Days sales outstandingc 41.79 37.94 32 Fixed assets turnoverb 9.84 11.80 13.0 Total assets turnoverb 1.81 2.18 2.6 Profitability Return on assets 3.00% 4.76% 9.1% Return on equity 12.22% 11.47% 18.2% Profit margin .43% 2.64% 3.5% Debt Management Debt-to-assets ratio 64.81% 49.81% 50.0%

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter3: Analysis Of Financial Statements
Section: Chapter Questions
Problem 14P: The Jimenez Corporation’s forecasted 2020 financial statements follow, along with some industry...
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please show excel formulas

5. See the below table for the Dog Voices Corporation (DVC):
a. Pick any three (3) ratios and explain on the strengths and weaknesses of its performance from 2020 to 2021. Type out the answers in the Excel answer shee
b. Then, pick any three (3) other ratios, and compare DVC in 2021 to the industry.
Ratio Analysis
2021
2020
Industry Avga
Liquidity
Current ratio
2.33
2.11
2.7
Acid-Test Ratio
0.85
0.69
1.36
Asset Management
Inventory turnoverb
5.74
4.47
7.0
Days sales outstandingc
41.79
37.94
32
Fixed assets turnoverb
9.84
11.80
13.0
Total assets turnoverb
1.81
2.18
2.6
Profitability
Return on assets
3.00%
4.76%
9.1%
Return on equity
12.22%
11.47%
18.2%
Profit margin
.43%
2.64%
3.5%
Debt Management
Debt-to-assets ratio
64.81%
49.81%
50.0%
Market Value
PIE ratio
3.43
5.65
6.0
Price/cash flow ratio
1.60
2.18
3.5
a Industry average ratios have been constant for the past 4 years.
b Based on year-end balance sheet figures.
c Calculation is based on a 365-day year.
Transcribed Image Text:5. See the below table for the Dog Voices Corporation (DVC): a. Pick any three (3) ratios and explain on the strengths and weaknesses of its performance from 2020 to 2021. Type out the answers in the Excel answer shee b. Then, pick any three (3) other ratios, and compare DVC in 2021 to the industry. Ratio Analysis 2021 2020 Industry Avga Liquidity Current ratio 2.33 2.11 2.7 Acid-Test Ratio 0.85 0.69 1.36 Asset Management Inventory turnoverb 5.74 4.47 7.0 Days sales outstandingc 41.79 37.94 32 Fixed assets turnoverb 9.84 11.80 13.0 Total assets turnoverb 1.81 2.18 2.6 Profitability Return on assets 3.00% 4.76% 9.1% Return on equity 12.22% 11.47% 18.2% Profit margin .43% 2.64% 3.5% Debt Management Debt-to-assets ratio 64.81% 49.81% 50.0% Market Value PIE ratio 3.43 5.65 6.0 Price/cash flow ratio 1.60 2.18 3.5 a Industry average ratios have been constant for the past 4 years. b Based on year-end balance sheet figures. c Calculation is based on a 365-day year.
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