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Ratio Analysis

Student Name

Student Course

Course Name

December 23, 2021

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Ratio Analysis

Kroger Company

Part A

Ratios Formulas 2017 2018

Debt Ratio Total Debt/ =$11825/$36505 =$12029/$37197

Total Asset
2.09 2.25
Gross Profit Revenue – =$115337-$89502/$115337 =$123280-$95811/$123280
Ratio COGS/
Revenue 22.39 22.38

Free Cash Revenue – =$115337-($111885+$957) =$123280-($120668-405)

Flow Ratio ( operating
cost + Taxes) -0.91 0.08
Time Interest EBIT/ Interest =$3452/$601 =$4630/$620
Earned Expense
5.74 7.46
Accounts Rec Net Credit =$115337/($1734+$1649/2) =$123280/($1637+$1589/2)
Ratio sales/ Average
Account Rec. 69.94 75.30
Inventory COGS/ =$89502/($6168+$6561/2) =$95811/($6533+$6846/2)
Turnover Average
Ratio Inventory 13.64 14.66

Part B

Ratios Formulas 2017 2018

Return on EBIT/ Net =$3452/$115337 =$2612/$123280

Sales Sales
Revenue 0.02 0.021
Asset Net Sales/ =$115337/($33897+$36505/2) =$123280/($37197+$38118/2)
Turnover Average
Total Asset 3.15 3.31
Return on Net =$1975/$36505 =$1907/$37197
Asset Income/Total
Assets 5.3 5.0
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Financial EBIT/EBT =$3452/$5792 =$2612/$5158

Leverage
0.5 0.51
Return on Net Income/ =$1957/$6710 =$1889/$6905
Equity Share Holder
Equity 0.29 0.27