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DISNEY COMPANY BALANCE SHEET Period Ending 27-Sep-14 28-Sep-13 29-Sep-12 Assets

ID: 2383087 • Letter: D

Question

DISNEY COMPANY BALANCE SHEET

Period Ending

27-Sep-14

28-Sep-13

29-Sep-12

Assets

CurrentAssets

CashAndCashEquivalents

3,421,000

3,931,000

3,387,000

ShortTermInvestments

-

-

-

NetReceivables

8,319,000

7,452,000

7,305,000

Inventory

1,574,000

1,487,000

1,537,000

OtherCurrentAssets

1,862,000

1,239,000

1,480,000

TotalCurrentAssets

15,176,000

14,109,000

13,709,000

LongTermInvestments

2,696,000

2,849,000

2,723,000

PropertyPlantandEquipment

23,332,000

22,380,000

21,512,000

Goodwill

27,881,000

27,324,000

25,110,000

IntangibleAssets

7,434,000

7,370,000

5,015,000

AccumulatedAmortization

-

-

-

OtherAssets

7,667,000

7,209,000

6,829,000

DeferredLongTermAssetCharges

-

-

-

TotalAssets

84,186,000

81,241,000

74,898,000

Liabilities

CurrentLiabilities

AccountsPayable

7,595,000

6,803,000

6,393,000

Short/CurrentLongTermDebt

2,164,000

1,512,000

3,614,000

OtherCurrentLiabilities

3,533,000

3,389,000

2,806,000

TotalCurrentLiabilities

13,292,000

11,704,000

12,813,000

LongTermDebt

12,676,000

12,776,000

10,697,000

OtherLiabilities

5,942,000

4,561,000

7,179,000

DeferredLongTermLiabilityCharges

4,098,000

4,050,000

2,251,000

MinorityInterest

3,220,000

2,721,000

2,199,000

NegativeGoodwill

-

-

-

TotalLiabilities

39,228,000

35,812,000

35,139,000

Stockholders'Equity

MiscStocksOptionsWarrants

-

-

-

RedeemablePreferredStock

-

-

-

PreferredStock

-

-

-

CommonStock

34,301,000

33,440,000

31,731,000

RetainedEarnings

53,734,000

47,758,000

42,965,000

TreasuryStock

-41,109,000

-34,582,000

-31,671,000

CapitalSurplus

-

-

-

OtherStockholderEquity

-1,968,000

-1,187,000

-3,266,000

TotalStockholderEquity

44,958,000

45,429,000

39,759,000

NetTangibleAssets

9,643,000

10,735,000

9,634,000

DISNEY COMPANY INCOME STATEMENT

Period Ending

27-Sep-14

28-Sep-13

29-Sep-12

TotalRevenue

48,813,000

45,041,000

42,278,000

CostofRevenue

26,420,000

25,034,000

23,468,000

GrossProfit

22,393,000

20,007,000

18,810,000

OperatingExpenses

ResearchDevelopment

-

-

-

SellingGeneralandAdministrative

8,565,000

8,365,000

7,960,000

NonRecurring

140,000

214,000

100,000

Others

2,288,000

2,192,000

1,987,000

TotalOperatingExpenses

-

-

-

OperatingIncomeorLoss

11,400,000

9,236,000

8,763,000

IncomefromContinuingOperations

TotalOtherIncome/ExpensesNet

-31,000

-69,000

239,000

EarningsBeforeInterestAndTaxes

12,246,000

9,620,000

9,260,000

InterestExpense

-

-

-

IncomeBeforeTax

12,246,000

9,620,000

9,260,000

IncomeTaxExpense

4,242,000

2,984,000

3,087,000

MinorityInterest

-503,000

-500,000

-491,000

NetIncomeFromContinuingOps

8,355,000

6,824,000

6,309,000

Non-recurringEvents

DiscontinuedOperations

-

-

-

ExtraordinaryItems

-

-

-

EffectOfAccountingChanges

-

-

-

OtherItems

-

-

-

NetIncome

7,501,000

6,136,000

5,682,000

PreferredStockAndOtherAdjustments

-

-

-

NetIncomeApplicableToCommonShares

7,501,000

6,136,000

5,682,000

“QUESTIONS”

Calculate the DuPont decomposition

Calculate the DuPont Decomposition for each of the three years for your company. The DuPont Decomposition is composed of

                ROE = NI/Equity = NI/Sales *Sales/Assets * Assets/Equity

Therefore, you should have a total of twelve calculations (four ratios for each of the three years).

Determine liquidity.

Determine the company’s liquidity by calculating the current ratio, the quick ratio, and the cash ratio for each of the three years. This should be a total of nine calculations.

NI/Equity

NI/Sales

Sales/Assets

Assets/Equity

Current Ratio

Quick Ratio

Cash Ratio

2012

2013

2014

Has the company drastically increased or decreased its use of debt?

Has the company’s liquidity position changed over the three years?

Has ROE been rising or falling? If so, what has contributed to this change?

What trends do you see developing in the data?

Do you see any major changes in the financial status of the company over the time period?

Period Ending

27-Sep-14

28-Sep-13

29-Sep-12

Assets

CurrentAssets

CashAndCashEquivalents

3,421,000

3,931,000

3,387,000

ShortTermInvestments

-

-

-

NetReceivables

8,319,000

7,452,000

7,305,000

Inventory

1,574,000

1,487,000

1,537,000

OtherCurrentAssets

1,862,000

1,239,000

1,480,000

TotalCurrentAssets

15,176,000

14,109,000

13,709,000

LongTermInvestments

2,696,000

2,849,000

2,723,000

PropertyPlantandEquipment

23,332,000

22,380,000

21,512,000

Goodwill

27,881,000

27,324,000

25,110,000

IntangibleAssets

7,434,000

7,370,000

5,015,000

AccumulatedAmortization

-

-

-

OtherAssets

7,667,000

7,209,000

6,829,000

DeferredLongTermAssetCharges

-

-

-

TotalAssets

84,186,000

81,241,000

74,898,000

Liabilities

CurrentLiabilities

AccountsPayable

7,595,000

6,803,000

6,393,000

Short/CurrentLongTermDebt

2,164,000

1,512,000

3,614,000

OtherCurrentLiabilities

3,533,000

3,389,000

2,806,000

TotalCurrentLiabilities

13,292,000

11,704,000

12,813,000

LongTermDebt

12,676,000

12,776,000

10,697,000

OtherLiabilities

5,942,000

4,561,000

7,179,000

DeferredLongTermLiabilityCharges

4,098,000

4,050,000

2,251,000

MinorityInterest

3,220,000

2,721,000

2,199,000

NegativeGoodwill

-

-

-

TotalLiabilities

39,228,000

35,812,000

35,139,000

Stockholders'Equity

MiscStocksOptionsWarrants

-

-

-

RedeemablePreferredStock

-

-

-

PreferredStock

-

-

-

CommonStock

34,301,000

33,440,000

31,731,000

RetainedEarnings

53,734,000

47,758,000

42,965,000

TreasuryStock

-41,109,000

-34,582,000

-31,671,000

CapitalSurplus

-

-

-

OtherStockholderEquity

-1,968,000

-1,187,000

-3,266,000

TotalStockholderEquity

44,958,000

45,429,000

39,759,000

NetTangibleAssets

9,643,000

10,735,000

9,634,000

Explanation / Answer

Net income Sales Total assets shareholders equity Current assets current liability Inventories cash & cash equivalent 2012 7501000 48813000 84186000 44958000 15176000 13292000 1574000 3421000 2013 6136000 45041000 81241000 45429000 14109000 11704000 1487000 3931000 2014 5682000 42278000 74898000 39759000 13709000 12813000 1537000 3387000 NI/Equity NI/Sales Sales/Assets Assets/Equity Current Ratio Quick Ratio Cash Ratio 2012 16.68% 15.37% 57.98% 1.87 1.14 1.02 0.26 2013 13.51% 13.62% 55.44% 1.79 1.21 1.08 0.34 2014 14.29% 13.44% 56.45% 1.88 1.07 0.95 0.26