Dec. 31, 2012 Dec. 31, 2011
Amount Percentage Amount Percentage
$ 533,000 $ 398,700
$ 740,200 $ 604,600
$3,102,900 $ $2,725,400
2. Vertical analysis (common-size) percentages for Vallejo Company’s sales, cost of goods sold, and expenses are listed here.
Vertical Analysis 2012 2011 2010
Sales 100% 100% 100%
Cost of goods sold 60.4 64.7 67.0
Expenses 25.1 27.3 29.8
Did Vallejo’s net income as a percent of sales increase, decrease, or remain unchanged over the 3-year period? Provide numerical support for your answer.
3. Horizontal analysis (trend analysis) percentages for Spartan Company’s sales, cost of goods sold, and expenses are listed here.
Horizontal Analysis 2012 2011 2010
Sales 96.2% 104.8 % 100%
Cost of goods sold 101.0 98.0 100.0
Expenses 105.6 95.4 100.0
Explain whether Spartan’s net income increased, decreased, or remained unchanged over the 3-year period.
4. These selected condensed data are taken from recent balance sheets of Bob Evans Farms (in thousands).
2009 2010
Cash receivables $ 13, 606 $7,669
Accounts receivable 23, 045 19,951
Inventories 31,087 31, 345
Other current assets $12,522 11,909
Total current assets $80,260 $70,874
Total current liabilities $245,805 $326,203
5.Compute the current ratio for each year. (Round answers to 2 decimal places, e.g. .12 : 1.)
2009 2008
Current Ratio: Current Ratio:
Staples, Inc. is one of the largest suppliers of office products in the United States. It had net income of $738.7 million and sales of $24,275.5 million in 2009. Its total assets were $13,073.1 million at the beginning of the year and $13,717.3 million at the end of the year. What is Staples, Inc.’s asset turnover ratio and profit margin ratio? (Round answers to 2 decimal places, e.g. 1.25 or 2.05%.)
Asset turnover ratio= ___________ times
Profit margin ratio= ________%
6. Selected data taken from a recent year’s financial statements of trading card company Topps Company, Inc. are as follows (in millions).
Net sales--$326.7
Current liabilities, beginning of year- 41.1
Current liabilities, end of year- 62.4
Net cash provided by operating activities- 10.4
Total liabilities, beginning of year- 65.2
Total liabilities, end of year-73.2
Capital expenditures- 3.7
Cash dividends - 6.2
Current cash debt coverage ratio= __________times
Cash debt coverage ratio= _______times
Free Cash Flow = ______ millions
vw2005
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