Financial Statement Analysis

WY corporation

MINI CASE
DATA
W&Y Corporation Balance Sheet
	2017	2018
Cash	$300	$495
Accounts receivable	700	915
Inventories	600	780
Other current assets	125	160
Total current assets	$1,725	$2,350
Gross fixed assets	$4,650	$4,950
Accumulated depreciation	(1,700)	(2,200)
Net fixed assets	$2,950	$2,750
Total assets	$4,675	$5,100
LIABILITIES (DEBT) AND EQUITY
Accounts payable	$400	$640
Short-term notes payable	250	300
Total current liabilities	$650	$940
Long-term debt	$1,250	$1,325
Total liabilities	$1,900	$2,265
Common stock (par & paid in capital)	$1,100	$1,100
Retained earnings	1,675	1,735
Total common equity	$2,775	$2,835
Total liabilities and equity	$4,675	$5,100
W&Y Corporation Income Statement
Sales	$5,700	$5,400
Cost of goods sold	(3,700)	(3,600)
Gross profits	$2,000	$1,800
Operating expenses:
Selling and G&A expenses	($820)	($780)
Depreciation expenses	(340)	(500)
Total operating expenses	($1,160)	($1,280)
Operating income (earnings before interest and taxes)	$840	$520
Interest expense	(200)	(275)
Earnings before taxes	$640	$245
Income taxes	(230)	(65)
Net Income	$410	$180
Number of shares (thousands)	150	150
Dividends ($thousands)	$120	$120
Market price per share	$36	$18