I need help on this. First here is the information on General Mill's balance sheet (let me know if you need more information).
In millions, except per value
|Assets||May 28, 2017||May 29, 2016|
|Cash and cash equivalents||$766.1||$763.7|
|Prepaid expenses and other current assets||381.6||399.0|
|Total current assets||4,061.4||3,937.2|
|Land, buildings and equipment||3,687.7||3,743.6|
|Other intangible assets||4,530.4||4,538.6|
|Liabilities and equity|
|Current portion of long-term debt||604.7||1,103.4|
|Other current liabilities||1,372.2||1,595.0|
|Total current liabilities||5,330.8||5,014.7|
|Deferred invomce taxes||1,719.4||1,399.6|
|Common stock, 754.6 shares issued, $0.10 per value||75.5||75.5|
|Additional paid-in capital||1,120.9||1,177.0|
|Common stock in treasury, at cost, shares of 177.7 and 157.8||(7,762.9)||(6,326.6)|
|Accumlated other comprehensive costs||(2,244.5)||(2,612.2)|
|Total stockholder's equity||4,327.9||4,930.2|
|Total liabilities and equity||$21,812.6||$21,712.3|
a) Calculate the following financial ratios for 2016 and 2017
1. Gross profit percentage
2. Return on sales
3. Asset turnover (2015, total assets = $21,932.0 million)
4. Reutrn on assets (2015, total assets = $21,932.0 million)
5. Return on common stockholders' equity (2015, total stockholders' equity = $4996.7 million)
6. Current ratio
7. Quick ratio
8. Operating-cash-flow-to-current-liabilities ratio (2015, current liabilites = $4,890.1 million)
9. Accounts receicable turnover (2015, accounts receivable = $1,386.7 million)
10. Average collection period
11. Inventory turnover ( 2015, inventory = $1,540.9 million)
12. Days' sales in inventory
13. Debt-to-equity ratio
14. Times-interest-earned ratio
15. Operating-cash-flow-to-capital-expenditures ratio
16. Earnings per share
17. Price-earnings ratio (Use year-end adjusted closing stock price of $57.32 for 2017 and $63.69 for 2016)
18 Dividend yield
19 Dividend payout ratio
b) Comment briefly on the changes from fiscal 2016 to fiscal 2017 in the raitios computed above.
As you have posted multiple questions and not specified which ratios are to be computed, the solutions to 3 ratios are provided. Kindly re-post the questions for the un-answered sub-parts and specify the sub-parts required( up to 3).For computation of profitability ratios and Turnover ratios income statement is required.
Current Ratio is a liquidity ratio that measures a company’s ability to pay its short-term obligations i.e. dues to be paid within 1 year. Ideal Ratio is 2:1
Current Ratio = Current Assets ÷ Current Liabilities
Acid Test Ratio or Quick ratio is a liquidity ratio that measures a company’s ability to pay its short-term obligations immediately. Ideal ratio is 1:1
Quick Ratio = Quick Assets ÷ Current Liabilities
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