Arizona State University Financial Statement Analysis Worksheet

User Generated

Ybyb999

Economics

Arizona State University

Description

Using the balance sheet and income statement for Archer-Daniels-Midland company for 2019 and 2020 sourced from Yahoo Finance, calculate your ratios with the spreadsheet template provided below (I've attached the excel template)  (i.e., I used Darden Restaurants Inc. as an example). Discuss liquidity, solvency, activity, and profitability for your company.

Please post your answer in approximately 200 words. Also, attach your Excel spreadsheet for your company (ADM)

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Darden Restaurants Inc. (DRI) Liquidity Current Ratio December 31, 2020 CA CL $ $ 892,600,000 1,474,100,000 0.61 (CA-INV) CL $ $ 685,300,000 1,474,100,000 0.46 Debt Asset Ratio TL TA $ $ 3,500,200,000 5,892,800,000 0.59 Equity Asset Ratio OE TA $ $ 2,392,600,000 5,892,800,000 0.41 Debt Equity Ratio TL OE $ $ 3,500,200,000 2,392,600,000 1.46 Total Asset Turnover Ratio Sales TA $ $ 8,510,400,000 5,892,800,000 1.44 Fixed Asset Turnover Ratio Sales (TA-CA) $ $ 8,510,400,000 5,000,200,000 1.70 Inventory Turnover Ratio COGS AAINV $ $ 4,248,900,000 206,300,000 20.60 Gross Profit Margin Ratio (Sales-COGS) Sales $ $ 4,261,500,000 8,510,400,000 50.07% Net Profit Margin Ratio Net Income Sales $ $ 713,400,000 8,510,400,000 8.38% Quick Ratio Solvency Activity Profitability Return on Assets Ratio Net Income TA $ $ 713,400,000 5,892,800,000 12.11% Return on Investment Ratio Net Income OE $ $ 713,400,000 2,392,600,000 29.82% (DRI) December 31, 2019 $ $ 553,600,000 1,384,500,000 0.40 $ $ 348,300,000 1,384,500,000 0.25 $ $ 3,274,800,000 5,469,600,000 0.60 $ $ 2,194,800,000 5,469,600,000 0.40 $ $ 3,274,800,000 2,194,800,000 1.49 $ $ 8,080,100,000 5,469,600,000 1.48 $ $ 8,080,100,000 4,916,000,000 1.64 ----- --- $ $ 4,048,500,000 8,080,100,000 50.10% $ $ 596,000,000 8,080,100,000 7.38% $ $ 596,000,000 5,469,600,000 10.90% $ $ 596,000,000 2,194,800,000 27.16%
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Explanation & Answer:
200 words
Excel Spreadsheet
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Explanation & Answer

View attached explanation and answer. Let me know if you have any questions.Please see attached file for the answer and explanation.

Archer-Daniels-Midland Company (ADM)

Liquidity
Current Ratio

December 31, 2020
CA
CL

$
$

27,286,000,000
18,182,000,000

1.50

(CA-INV)
CL

$
$

15,573,000,000
18,182,000,000

0.86

Debt Asset Ratio

TL
TA

$
$

29,623,000,000
49,719,000,000

0.60

Equity Asset Ratio

OE
TA

$
$

20,022,000,000
49,719,000,000

0.40

Debt Equity Ratio

TL
OE

$
$

29,623,000,000
20,022,000,000

1.48

Total Asset Turnover Ratio

Sales
TA

$
$

64,355,000,000
49,719,000,000

1.29

Fixed Asset Turnover Rati...

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