90.2K

Verified Solution

Link Copied!

Joshua & White Technologies: December 31 Balance Sheets (Thousands of Dollars) Assets

2019. 2018

Cash and cash equivalents. $21,000. $20,000

Short-term investments 3,759 3,240

Accounts Receivable 52,500 48,000

Inventories 84,000 56,000

Total current assets $161,259 $127,240

Net fixed assets 223,097 200,000

Total assets $384,356 $327,240

Liabilities and equity

Accounts payable $33,600 $32,000

Accruals 12,600 12,000

Notes payable 19,929 6,480

Total current liabilities $66,129 $50,480

Long-term debt 67,662 58,320

Total liabilities $133,791 $108,800

Common stock 178,440 178,440

Retained Earnings 72,125 40,000

Total common equity $250,565 $218,440

Total liabilities and equity $384,356 $327,240

Joshua & White Technologies December 31 Income Statements (Thousands of Dollars)

2019. 2018

Sales $420,000 $400,000

COGS except excluding depr. and amort. 300,000 298,000

Depreciation and Amortization 19,660 18,000

Other operating expenses 27,600 22,000

EBIT $72,740 $62,000

Interest Expense 5,740 4,460

EBT $67,000 $57,540

Taxes (25%) 16,750 14,385

Net Income $50,250 $43,155

Common dividends $18,125 $17,262

Addition to retained earnings $32,125 $25,893

Other Data

2019. 2018

Year-end Stock Price $90.00 $96.00 # of shares (Thousands) 4,052 4,000

Lease payment (Thousands of Dollars) $20,000 $20,000

Sinking fund payment (Thousands of Dollars) $5,000 $5,000

Has the companys ability to manage its assets improved or gotten worse, why? Hows does it compare with industry averages?

Answer & Explanation Solved by verified expert

See Answer