Please help me plug in the data from the Under Armour income statement and balan
ID: 2727130 • Letter: P
Question
Please help me plug in the data from the Under Armour income statement and balance sheets in order to calculate the following financial ratios: Current Ratio, Acid Test Ratio, Average Collection Period, Accounts Receivable, Turnover Inventory, Turnover Debt Ratio, Times Interest Earned, Total Asset Turnover, Fixed Asset, Turnover Gross Profit Margin, Operating Profit Margin (OPM), Net Profit Margin (NPM), Operating Return on Assets (OROA), Return on Equity. Price / Earnings Ratio, Market-to-Book Ratio
Explanation / Answer
1. Current Ratio = Current Ratio/ Current Liabilties = 1,498,763/478,810 = 3.13
2. Acid Test ratio = (Current Assets - Inventory) / Current Liabilities = (1,498,763 - 783,031)/478,810 = 715,732/478,810 = 1.49
3. Account receivable turnover = Total revenue per year/ Avergae accounts recivable = (1,047,702+1,170,686 + 1,204,109 + 783,577) / ( ( 433,638 + 332,333)/2) = 4,206,074 / 382,985.50 = 10.98
4. Average collection period = 365/ Account receivable turnover = 365/10.98 = 33.24 days
5. Inventory Turnover = COGS per year / Average Inventory = (567,066 + 609,016 + 616,949 + 404,524)/((783,031 + 536,714)/2) = 2,197,555/659,872.5 = 3.33
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