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The following list of accounts were provided for Cineplex. in their Annual Report ...

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Accounting

The following list of accounts were provided for Cineplex. in their Annual Report

2020

2019

Net Sales

$1,955,067

$1,578,326

Interest expense

22,734

18,936

Income tax expense

27,490

31,327

Net Income

77,346

87,991

Total current assets

245,172

182,187

Total assets

1,955,168

1,828,186

Total current liabilities

515,324

402,039

Total liabilities

1,143,392

976,291

Total shareholders' equity

711,776

751,895

Market price per share

66.94

78.87

Number of Common Shares

563,474

563,451

Cash Dividend per share

5.50

5.60

Calculate the following Ratios for 2020

Asset Turnover

Times Interest Earned

Return on Assets

Current Ratio

Profit Margin

Return on Equity

Debt to Total Assets

Dividend Yield

b. Indicate whether each of the above ratios is a measure of liquidity (L), solvency (S), profitability (P) or market (M).

c. Interest Expense has increased by over 20%. What could be a reason why this has increased?

d. Which ratios would be most important to a bank in determining if a loan should be granted. If you were the VP of loans for the Toronto Dominion Bank would you approve a $75 million loan to this company?

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