Reference no: EM131868091

You have been hired as a financial analyst by First Citizens Bank. One of your first job assignments it to analyze the present financieal condition of Bradley Stores, Inc. You are provided with the following 2012 balance sheet and income statement information for Bradley Stores. In addition you are told that Bradley Stores has 10,000,000 shares of common stock outstanding currently trading at $9 per share, and has made annual purchases of $210,000,000.

Balance sheet

Cash    $5,000             Accounts payable $15,000

Accounts receivable 20,000    Notes payable 20,000

Inventory                   40,000    Total current liabilities 35,000

Total current assets   65,000   Long term debt      10,000

net fixed assets      135,000    stockholder equity    65,000

total assets            200,000      total liabilities and equity 200,000

net sales (all credit)                    300,000

less cost of goods sold                 250,000

earnings before interest and taxes   50,000

less interest                                       40,000

earnings before taxes                      10,000

less taxes (40%)                               4,000

Net Income                                      6,000

Question: Construct a DuPont analysis