Based on these ratios specifically interpret apples


Based on these ratios, specifically interpret Apple's financial condition by using examples of Profitability Ratios, Leverage Ratios, Liquidity Ratios, and Efficiency Ratios.
1. Current Ratio = Total Current Assets/Total Current Liabilities

  • 57,653 / 38,542 = 1.50

2. Debt to Equity Ratio = Total Liabilities/Total Shareholders' Equity

  • 57,854 / 118,210 = .49

3. Inventory Turnover Ratio = Cost of Sales/Average Inventory

  • 87,846 / (791+776)/2 = 112.12

4. Return on Assets Ratio = Net Income/Average Total Assets

  • 41,733 / (176,064+116,371)/2 = .29

5. Gross Margin Ratio = Gross Profit/Net Sales

  • (156,508-87,846) / 156,508 = .44

6. Profit Margin Ratio = Net Income/Net Sales

  • 41,733 / 156,508 = .27

7. Return on Equity Ratio = Net Income/Average Shareholders' Equity

  • 41,733 / (118,210+76,615)/2 = .43

8. Working Capital = Total Current Assets - Total Current Liabilities
• 57,653 - 38,542 = 19,111

 

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: Based on these ratios specifically interpret apples
Reference No:- TGS0757715

Expected delivery within 24 Hours