Cost of goods sold

Problem 9-23 Ratio analysis

Required

Use the financial statements for Bernard Company from Problem 9-22 to calculate the following

for 201 2 and 201 1 .

a. Working capital

b. Current ratio

c. Quick ratio

d. Accounts receivable turnover (beginning receivables at January 1 , 201 1 , were $47,000)

e. Average number of days to collect accounts receivable

f. Inventory turnover (beginning inventory at January 1 , 201 1 , was $1 40,000)

g. Average number of days to sell inventory

h. Debt to assets ratio

i. Debt to equity ratio

j. Times interest earned

k. Plant assets to long-term debt

l. Net margin

m. Asset turnover

n. Return on investment

o. Return on equity

p. Earnings per share

q. Book value per share of common stock

r. Price-earnings ratio (market price per share: 201 1 , $1 1 .75; 201 2, $1 2.50)

s. Dividend yield on common stock