Using Gap, Inc's 2023 Annual Financial Statements, calculate the following:
https://investors.gapinc.com/financial-information/annual-reports/default.aspx
Liquidity
Working Capital = Current Assets – Current Liabilities.
Current Ratio = Current Assets / Current Liabilities.
Quick Ratio = (Cash + Accounts Receivable) / Current Liabilities.
Accounts Receivable Turnover = Net Credit Sales / Average Receivables
Average Days to Collect Receivables = 365 / Accounts Receivable Turnover
Inventory Turnover = Cost of Goods Sold / Average Inventory
Average Days to Sell Inventory = 365 / Inventory Turnover
Solvency
Debit to asset ratio = total liabilities / Total Assets
Debit to Equity Ratio = Total Liabilities / Total Stockholders equity
Number of times interest is earned = earnings before interest and taxes / Interest Expense
Plant Assets to long term liabilities = New plant Assets / long term liabilities
Marketability/Profitability Ratios
Net Margin = Net Income / Net Sales
Assets turnover = Net Sales / Avg total assets
Return on Investment = Net income / Avg. total assets
Return on Equity = net income / avg total stockholders equity
Stock Market Ratios
Earnings per share = take a company's net income and subtract from that preferred dividends
Book value per share = (Stockholders equity - preferred rights) / outstanding common shares
Price per earnings ration = market price per share / earnings per share
Dividend Yield = dividends per share / market price per share
