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Crocs designs, develops, and manufactures consumer products from specialty resins. The company's primary product line is Crocs-branded footwear for men, women, and children. It sells its products through traditional retail channels, including specialty footwear stores. Deckers Outdoor designs and produces sport sandals as well as sheepskin and sustainable footwear. The company's products are marketed under three proprietary brands: Teva, Simple, and UGG. It sells its products through domestic retailers and global distributors and directly to consumers via the Internet. Financial ratios for each company follow. EBI denotes after-tax earnings before interest expense and excluding nonoperating gains or losses. Selected Financial Ratios Annual growth rate Sales Operating earnings (before taxes) Assets Profitability EBI/Sales margin Asset turnover Return on Assets (ROA) Selected expense items (% of sales) Cost of goods sold Selling, general, and administrative Selected asset utilization ratios Days receivables outstanding Days inventory held Days payables outstanding 2009 (10.5%) (72.8%) (10.1%) (0.064) 1.49 (0.095) 52.3% 48.3% 24.2 127.8 37.1 Crocs 2010 22.3% (258.3%) 34.1% 0.086 1.65 0.142 46.2% 43.3% 26.5 107.4 27.5 2011 26.7% 68.5% 26.6% 0.113 1.61 0.182 46.4% 40.2% 27.2 98.5 39.4 2009 17.9% 55.0% 23.8% 0.143 1.50 0.215 54.4% 23.3% 41.4 73.5 37.9 Deckers Outdoor 2010 23.1% 37.4% 35.0% 0.158 1.42 0.225 49.8% 25.4% 35.2 77.1 38.8 2011 37.6% 14.4% 41.7% 0.145 1.41 0.204 50.7% 28.6% 41.1 98.9 39.3

Crocs designs, develops, and manufactures consumer products from specialty resins. The company's primary product line is Crocs-branded footwear for men, women, and children. It sells its products through traditional retail channels, including specialty footwear stores. Deckers Outdoor designs and produces sport sandals as well as sheepskin and sustainable footwear. The company's products are marketed under three proprietary brands: Teva, Simple, and UGG. It sells its products through domestic retailers and global distributors and directly to consumers via the Internet. Financial ratios for each company follow. EBI denotes after-tax earnings before interest expense and excluding nonoperating gains or losses. Selected Financial Ratios Annual growth rate Sales Operating earnings (before taxes) Assets Profitability EBI/Sales margin Asset turnover Return on Assets (ROA) Selected expense items (% of sales) Cost of goods sold Selling, general, and administrative Selected asset utilization ratios Days receivables outstanding Days inventory held Days payables outstanding 2009 (10.5%) (72.8%) (10.1%) (0.064) 1.49 (0.095) 52.3% 48.3% 24.2 127.8 37.1 Crocs 2010 22.3% (258.3%) 34.1% 0.086 1.65 0.142 46.2% 43.3% 26.5 107.4 27.5 2011 26.7% 68.5% 26.6% 0.113 1.61 0.182 46.4% 40.2% 27.2 98.5 39.4 2009 17.9% 55.0% 23.8% 0.143 1.50 0.215 54.4% 23.3% 41.4 73.5 37.9 Deckers Outdoor 2010 23.1% 37.4% 35.0% 0.158 1.42 0.225 49.8% 25.4% 35.2 77.1 38.8 2011 37.6% 14.4% 41.7% 0.145 1.41 0.204 50.7% 28.6% 41.1 98.9 39.3

Financial And Managerial Accounting
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter21: Variable Costing For Management analysis
Section: Chapter Questions
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Common Size and Financial Statement Analysis (15%) Crocs designs, develops, and manufactures consumer products from specialty resins. The company's primary product line is Crocs-branded footwear for men, women, and children. It sells its products through traditional retail channels, including specialty footwear stores. Deckers Outdoor designs and produces sport sandals as well as sheepskin and sustainable footwear. The company's products are marketed under three proprietary brands: Teva, Simple, and UGG. It sells its products through domestic retailers and global distributors and directly to consumers via the Internet. Financial ratios for each company follow. EBI denotes after-tax earnings before interest expense and excluding nonoperating gains or losses. Selected Financial Ratios Annual growth rate Sales Operating earnings (before taxes) Assets Profitability EBI/Sales margin Asset turnover Return on Assets (ROA) Selected expense items (% of sales) Cost of goods sold Selling, general, and administrative Selected asset utilization ratios Days receivables outstanding Days inventory held Days payables outstanding Dequired 2009 (10.5%) (72.8%) (10.1%) (0.064) 1.49 (0.095) 52.3% 48.3% 24.2 127.8 37.1 Crocs 2010 22.3% (258.3%) 34.1% 0.086 1.65 0.142 46.2% 43.3% 26.5 107.4 27.5 2011 26.7% 68.5% 26.6% 0.113 1.61 0.182 46.4% 40.2% 27.2 98.5 39.4 2009 17.9% 55.0% 23.8% 0.143 1.50 0.215 54.4% 23.3% 41.4 73.5 37.9 Deckers Outdoor 2010 23.1% 37.4% 35.0% 0.158 1.42 0.225 49.8% 25.4% 35.2 77.1 38.8 2011 37.6% 14.4% 41.7% 0.145 1.41 0.204 50.7% 28.6% 41.1 98.9 39.3
Transcribed Image Text:Common Size and Financial Statement Analysis (15%) Crocs designs, develops, and manufactures consumer products from specialty resins. The company's primary product line is Crocs-branded footwear for men, women, and children. It sells its products through traditional retail channels, including specialty footwear stores. Deckers Outdoor designs and produces sport sandals as well as sheepskin and sustainable footwear. The company's products are marketed under three proprietary brands: Teva, Simple, and UGG. It sells its products through domestic retailers and global distributors and directly to consumers via the Internet. Financial ratios for each company follow. EBI denotes after-tax earnings before interest expense and excluding nonoperating gains or losses. Selected Financial Ratios Annual growth rate Sales Operating earnings (before taxes) Assets Profitability EBI/Sales margin Asset turnover Return on Assets (ROA) Selected expense items (% of sales) Cost of goods sold Selling, general, and administrative Selected asset utilization ratios Days receivables outstanding Days inventory held Days payables outstanding Dequired 2009 (10.5%) (72.8%) (10.1%) (0.064) 1.49 (0.095) 52.3% 48.3% 24.2 127.8 37.1 Crocs 2010 22.3% (258.3%) 34.1% 0.086 1.65 0.142 46.2% 43.3% 26.5 107.4 27.5 2011 26.7% 68.5% 26.6% 0.113 1.61 0.182 46.4% 40.2% 27.2 98.5 39.4 2009 17.9% 55.0% 23.8% 0.143 1.50 0.215 54.4% 23.3% 41.4 73.5 37.9 Deckers Outdoor 2010 23.1% 37.4% 35.0% 0.158 1.42 0.225 49.8% 25.4% 35.2 77.1 38.8 2011 37.6% 14.4% 41.7% 0.145 1.41 0.204 50.7% 28.6% 41.1 98.9 39.3
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