# Calculate All Ratios Which Industry Figures Are Available Below Nederland And Compare Firm’s

The following are the financial statements for Nederland Consumer Products Company for the fiscal year ended September 30, 2011.

Nederland Consumer Products Company
Income Statement for the Fiscal Year
Ended September 30, 2011

Net sales

\$

62,141

Cost of goods sold

26,906

Gross margin

\$

35,235

15,715

Depreciation

776

Operating income(loss)

\$

18,744

Interest expense

499

Earnings(loss) before income taxes

\$

18,245

Income taxes

5,623

Net earnings(loss)

\$

12,622

Nederland Consumer Products Company
Balance Sheet as of September 30, 2011

Assets:

Liabilities and Stockholder’s Equity:

Cash and marketable securities

\$

6,807

Accounts payable

\$

2,776

Investment securities

353

Accrued and other liabilities

7,780

Accounts receivable

3,288

Taxes payable

2,047

Total inventories

5,376

Debt due within one year

7,490

Deferred income taxes

882

Prepaid expenses & other receivables

1,991

Total current assets

\$

18,697

Total current liabilities

\$

20,093

Property, plant, and equip., at cost

30,215

Long-term debt

12,217

Less: Accumulated depreciation

9,653

Deferred income taxes

2,543

Net plant and equipment

\$

20,562

Other non-current liabilities

3,504

Net goodwill & other intangible assets

23,970

Total liabilities

\$

38,357

Other non-current assets

1,622

Convertible Class A preferred stock

1,696

Common stock

1,608

Retained earnings

23,190

Total stockholders’ equity (deficit)

\$

26,494

Total assets

\$

64,851

Total liabilities and stockholders’ equity

\$

64,851

Calculate all the ratios, for which industry figures are available below, for Nederland and compare the firm’s ratios with the industry ratios. (Round current ratio, quick ratio, debt ratio, long term debt ratio answers to 2 decimal places, e.g. 12.25 and other answers to 1 decimal place, e.g.12.5 or 12.5%.)

Industry Average

Current Ratio

2.05

[removed]

times

Quick Ratio

0.78

[removed]

times

Gross margin

23.9

%

[removed]

%

Net profit margin

12.3

%

[removed]

%

Debt ratio

0.23

[removed]

times

Long-term debt to equity

0.98

[removed]

times

Interest coverage

5.62

[removed]

ROA

5.3

%

[removed]

%

ROE

18.8

%

[removed]

%