50.1K

Verified Solution

Link Copied!

Part c. (2 point). What useful information do you receive from these common size statements? Use the useful information to compare the financial performance and the financial position of these company in 2020. How did Covid affect this firm?

Question 2. (3 points). Analyze the financial performance and position of the company over the period of 2018-2022? Comment on the change in the financial performance/position of the company during this period.

Common size Income Statement 20182019202020212022Total Revenue41,303.043,259.015,355.024,634.044,955.0Cost Of Goods Sold28,109.028,477.017,826.021,369.031,769.0Gross Profit13,194.014,782.0(2,471.0) 3,265.013,186.0Selling General & Admin Expense1,769.01,863.0546.0776.01,700.0R & D Expense-----Depreciation & Amortization Expense2,165.02,288.02,488.02,485.02,456.0Other Operating Expense/(Income)5,590.06,063.03,399.04,334.06,463.0Total Operating Expenses9,524.010,214.06,433.07,595.010,619.0Operating Income3,670.04,568.0(8,904.0) (4,330.0) 2,567.0Net Interest Expense(504.0) (513.0) (942.0) (1,541.0) (1,375.0) Other Non-Operating Expense(26.0) (48.0) (14.0) 62.0(75.0) Earnings Before Tax Excluding Unusual Items3,140.04,007.0(9,860.0) (5,809.0) 1,117.0Restructuring Charges(22.0) (2.0) (685.0) (469.0) -Impairment of Goodwill-----Gain (Loss) On Sale Of Invest.(5.0) 153.0(194.0) (34.0) 20.0Asset Writedown(377.0) (171.0) -(97.0) -Legal Settlements-(18.0) ---Other Unusual Items(88.0) (55.0) 1,917.03,852.0(147.0) Earnings Before Tax Including Unusual Items2,648.03,914.0(8,822.0) (2,557.0) 990.0Income Tax Expense526.0905.0(1,753.0) (593.0) 253.0Earnings from Continuing Operations2,122.03,009.0(7,069.0) (1,964.0) 737.0Earnings of Discontinued Operations-----Net Income2,122.03,009.0(7,069.0) (1,964.0) 737.0

Common Size Balance Sheet 20182019202020212022 ASSETS Total Cash & ST Investments3,950.04,944.011,683.018,406.016,414.0 Total Receivables1,426.01,364.01,295.01,663.01,801.0 Inventory985.01,072.0932.0983.01,109.0 Prepaid Exp.733.0814.0635.0745.0689.0 Restricted Cash--255.037.045.0 Other Current Assets----- Total Current Assets7,094.08,194.014,800.021,834.020,058.0 Gross Property, Plant & Equipment44,750.048,105.051,266.052,993.055,998.0 Accumulated Depreciation(13,266.0) (14,537.0) (16,429.0) (18,489.0) (20,481.0) Net Property, Plant & Equipment31,484.033,568.034,837.034,504.035,517.0 Long-term Investments955.01,156.01,000.01,420.01,373.0 Goodwill4,523.04,523.04,527.04,527.04,527.0 Other Intangibles3,159.03,009.02,838.02,803.02,762.0 Loans Receivable Long-Term516.0671.031.0-- Deferred Tax Assets, LT--131.0659.091.0 Other Long-Term Assets1,293.01,490.01,384.02,428.03,030.0 Total Assets49,024.052,611.059,548.068,175.067,358.0 LIABILITIES Accounts Payable2,363.02,703.01,595.02,562.03,395.0 Accrued Exp.2,184.02,271.01,960.02,121.01,971.0 Curr. Port. of LT Debt1,230.01,407.01,911.03,002.02,911.0 Curr. Port. of Leases842.0732.0812.01,466.0688.0 Unearned Revenue, Current6,667.07,259.05,741.08,593.010,248.0 Other Current Liabilities553.0566.0706.0560.0779.0 Total Current Liabilities13,839.014,938.012,725.018,304.019,992.0 Long-Term Debt12,215.013,145.024,836.030,361.028,283.0 Long-Term Leases5,500.05,166.06,350.06,234.05,418.0 Unearned Revenue, Non-Current2,719.02,836.05,067.04,043.03,982.0 Pension & Other Post-Retire. Benefits2,871.02,235.03,454.02,920.01,418.0 Def. Tax Liability, Non-Curr.828.01,736.0--- Other Non-Current Liabilities1,010.01,024.01,156.01,284.01,369.0 Total Liabilities38,982.041,080.053,588.063,146.060,462.0 Common Stock3.03.04.04.04.0 Additional Paid In Capital6,120.06,129.08,366.09,156.08,986.0 Retained Earnings6,715.09,716.02,626.0625.01,265.0 Treasury Stock(1,993.0) (3,599.0) (3,897.0) (3,814.0) (3,534.0) Comprehensive Inc. and Other(803.0) (718.0) (1,139.0) (942.0) 175.0 Total Common Equity10,042.011,531.05,960.05,029.06,896.0 Total Equity10,042.011,531.05,960.05,029.06,896.0 Total Liabilities And Equity49,024.052,611.059,548.068,175.067,358.0

Answer & Explanation Solved by verified expert

See Answer