## Forecasted Ratio Analysis Example SIS

 SCHOLARSHIP INFORMATION SERVICES FORECASTED RATIO ANALYSIS FOR YEAR ENDING AUGUST 31, 200X and 200Y CURRENT RATIO : 200X 200Y Current Assets Current Liabilities = \$12,965 \$5,085 \$28,470 \$11,256 = \$2.55 \$2.53 QUICK RATIO: Current Assets - Inventory Current Liabilities = \$10,373 \$5,085 \$24,906 \$11,256 = \$2.04 \$2.21 DEBT TO EQUITY RATIO Total Liabilities Owners Equity = \$5,085 \$19,880 \$11,256 \$25,213 = \$0.26 \$0.45 OWNERS EQUITY TO TOTAL ASSETS Owners Equity Total Assets = \$19,880 \$24,965 \$25,213 \$36,470 = \$0.80 \$0.69 CREDITORS EQUITY TO TOTAL ASSETS Total Liabilities Total Assets = \$5,085 \$24,965 \$11,256 \$36,470 = \$0.20 \$0.31 PROFIT MARGIN RATIO Net income after Tax Net Sales = \$5,480 \$104,000 \$17,333 \$192,000 = \$0.05 \$0.09 RETURN ON TOTAL ASSETS Net Income after Tax Total Assets = \$5,480 \$24,965 \$17,333 \$36,470 = \$0.22 \$0.48 RETURN ON OWNERS EQUITY Net Income after Tax Owners Equity = \$5,480 \$19,880 \$17,333 \$25,213 = \$0.28 \$0.69 INVESTMENT TURNOVER RATIO Net Sales Total Assets = \$104,000 \$24,965 \$192,000 \$36,470 = \$4.17 \$5.26