Compute and Interpret Liquidity and Solvency Ratios Selected balance sheet and income statement information from...
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Compute and Interpret Liquidity and Solvency Ratios Selected balance sheet and income statement information from Siemens, AG, for 2012 through 2014 follows ( millions).
Total Current Assets
Total Current Liabilities
Cash Flow from Operations
Pretax Income
Interest Expense
Total Liabilities
Stockholders' Equity
2012
52,128
42,627
6,923
6,636
760
77,396
30,855
2013
46,937
37,868
7,186
5,813
784
73,825
28,111
2014
48,076
36,598
7,230
7,427
764
73,925
30,954
a. Compute the current ratio for each year. Also compute the operating cash flow to current liabilities (OCFCL) ratio for each year. (In 2011, current liabilities totaled 43,560 million.) Round answers to two decimal places. Do not round your final answer.
Current ratio
OCFCL
2012
Answer
Answer
2013
Answer
Answer
2014
Answer
Answer
b. Compute times interest earned and the debt-to-equity ratio for each year. Round answers to two decimal places. Do not round your final answer.
TIE
D/E
2012
Answer
Answer
2013
Answer
Answer
2014
Answer
Answer
Answer & Explanation
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