Here are simplified financial statements for Phone Corporation in 2020:
INCOME STATEMENT
(Figures in $ millions)
Net sales $ 13,700
Cost of goods sold 4,360
Other expenses 4,047
Depreciation 2,698
Earnings before interest and taxes (EBIT) $ 2,595
Interest expense 715
Income before tax $ 1,880
Taxes (at 21%) 395
Net income $ 1,485
Dividends $ 916
BALANCE SHEET
(Figures in $ millions)
End of Year Start of Year
Assets
Cash and marketable securities $ 95 $ 164
Receivables 2,682 2,610
Inventories 217 268
Other current assets 897 962
Total current assets $ 3,891 $ 4,004
Net property, plant, and equipment 20,033 19,975
Other long-term assets 4,276 3,830
Total assets $ 28,200 $ 27,809
Liabilities and shareholders’ equity
Payables $ 2,624 $ 3,100
Short-term debt 1,449 1,603
Other current liabilities 841 817
Total current liabilities $ 4,914 $ 5,520
Long-term debt and leases 5,524 5,759
Other long-term liabilities 6,238 6,209
Shareholders’ equity 11,524 10,321
Total liabilities and shareholders’ equity $ 28,200 $ 27,809
Calculate the following financial ratios for Phone Corporation:
Note: Use 365 days in a year. Do not round intermediate calculations. Round your final answers to 2 decimal places.