Problem 9-23Ratio analysis
The following financial statements apply to Robin Company.
Using Excel calculate the following ratios for 2014 and 2015. When data limitations prohibit computing averages, use year-end balances in your calculations. Round computations to two decimal points.
a.Net margin
b.Return on investment
c.Return on equity
d.Earnings per share
e.Price-earnings ratio (market prices at the end of 2014 and 2015 were $5.94 and $4.77, respectively)
f.Book value per share of common stock
g.Times interest earned
h.Working capital
i.Current ratio
j.Quick (acid-test) ratio
k.Accounts receivable turnover
l.Inventory turnover
m.Debt to equity ratio
n.Debt to assets ratio
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