The following partial income statement and balance sheet information (in $ millions) comes from the...
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Accounting
The following partial income statement and balance sheet information (in $ millions) comes from the Annual Report of Saratoga Springs Co. for the year ending 12/31/2016:
Year ended 12/31/2016
Net sales
8,504
Total operating revenue
8,504
Cost of goods sold
4,892
Sales, general & administrative
1,954
Interest expense
441
Income before tax
692
Net income
481
12/31/2016
12/31/2015
Cash and cash equivalents
1,000
69
Receivables, net
1,150
679
Inventories
1,110
554
Land, buildings and equipment at cost, net
14,030
4,689
Total assets
17,290
5,991
Accounts payable
7,213
3,104
Total current liabilities
7,213
3,104
Long-term debt
5,846
2,386
Deferred income taxes
430
448
Total liabilities
13,489
5,938
Minority interest
978
0
Retained earnings
2,823
53
Total stockholders' equity
3,801
53
a)Compute the profit margin on sales for 2016 of Saratoga Springs Co
b)Compute the receivables turnover ratio for 2016 of Saratoga Springs Co
c).Compute the inventory turnover ratio for 2016 of Saratoga Springs Co
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