Your Task…Using your assigned financial statements calculate the required ratios belowIndicate if the change from year to year is favorable or unfavorable.All values should be accurate to at least two decimal places.The expectation is to submit a professional report free of grammar and spelling errors and easy to read. Think of this as a menu you would be handing to a customer. All calculations are to be represented.Analysis of ProfitabilityGross Profit RatioOperating Profit RatioNet Profit RatioSales to Total Assets RatioReturn on Total AssetsReturn on EquityEarnings Per Share Oppong CorporationIncome StatementFor Years Ended December 31, 2014, 2013, and 2012201320142012SalesCost of goods sold$1,452,100$1,211,600 $1,367,0001,113,900 945,300943,900Gross profit from sales,Operating expenses.Income from operations,Interest expenseIncome before taxes.338,200 266,300423,10094,400328,700124,200108,600214,000 157,7004,9504,6004,800209,050 153,10018,700323,900Income taxes43,50042,600Net income$165,550 $134,400 $281,300Oppong CorporationBalance SheetDecember 31, 2014, 2013, and 2012Assets201420132012CashShort-term investments_Accounts receivable, netMerchandise inventoryPrepaid expenses,Notes receivable, due in 2017Plant assets, netTotal assets$138,100 $115,800 $99,40079,00069,00058,30072,00047,30053,00023,60021,10018,4003,2006,0003,1006,0003,4005,000249,000 220,000 198,000$546,400 $498,100 $444,200Liabilities and EquityAccounts payableSalaries payable.Income taxes payable,$36,900 $31,200 $37,60013,70013,30015,5006,9506,2506,20045,000Long-term note payable secured by mortgage on plant assets51,00056,000190,000 160,000 160,000Share capital, 150,000 shares.Retained earningsTotal liabilities and equity.243,250 235,950$546,400 $498,100 $444,200179,900

Ratio analysis: This is the quantitative analysis of financial statements of a business enterprise.…

Answered: Your Task… Using your assigned…

Fundamentals of Financial Management (MindTap Course List)

15th Edition

ISBN:9781337395250

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter4: Analysis Of Financial Statements

Section: Chapter Questions

Problem 24P: Income Statement for Year Ended December 31, 2018 (Millions of Dollars) Net sales 795.0 Cost of...

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Your Task…

Using your assigned financial statements calculate the required ratios below
Indicate if the change from year to year is favorable or unfavorable.
All values should be accurate to at least two decimal places.
The expectation is to submit a professional report free of grammar and spelling errors and easy to read. Think of this as a menu you would be handing to a customer.
All calculations are to be represented.

Analysis of Profitability

Gross Profit Ratio
Operating Profit Ratio
Net Profit Ratio
Sales to Total Assets Ratio
Return on Total Assets
Return on Equity
Earnings Per Share

Oppong Corporation
Income Statement
For Years Ended December 31, 2014, 2013, and 2012
2013
2014
2012
Sales
Cost of goods sold
$1,452,100$1,211,600 $1,367,000
1,113,900 945,300
943,900
Gross profit from sales,
Operating expenses.
Income from operations,
Interest expense
Income before taxes.
338,200 266,300
423,100
94,400
328,700
124,200
108,600
214,000 157,700
4,950
4,600
4,800
209,050 153,100
18,700
323,900
Income taxes
43,500
42,600
Net income
$165,550 $134,400 $281,300
Oppong Corporation
Balance Sheet
December 31, 2014, 2013, and 2012
Assets
2014
2013
2012
Cash
Short-term investments_
Accounts receivable, net
Merchandise inventory
Prepaid expenses,
Notes receivable, due in 2017
Plant assets, net
Total assets
$138,100 $115,800 $99,400
79,000
69,000
58,300
72,000
47,300
53,000
23,600
21,100
18,400
3,200
6,000
3,100
6,000
3,400
5,000
249,000 220,000 198,000
$546,400 $498,100 $444,200
Liabilities and Equity
Accounts payable
Salaries payable.
Income taxes payable,
$36,900 $31,200 $37,600
13,700
13,300
15,500
6,950
6,250
6,200
45,000
Long-term note payable secured by mortgage on plant assets
51,000
56,000
190,000 160,000 160,000
Share capital, 150,000 shares.
Retained earnings
Total liabilities and equity.
243,250 235,950
$546,400 $498,100 $444,200
179,900

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