Just Dew It Corporation reports the following balance sheet information for 2001 and 2002. Based on the
Question:
Just Dew It Corporation reports the following balance sheet information for 2001 and 2002.
Based on the balance sheets given for Just Dew It, calculate the following financial ratios for each year:
a. Current ratio
b. Quick ratio
c. Cash ratio
d. NWC to total assets ratio
e. Debt-equity ratio and equity multiplier
f. Total debt ratio and long-term debt ratio
Transcribed Image Text:
Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets JUST DEW IT CORPORATION Balance Sheets as of December 31, 2001 and 2002 2001 2002 $ 9,201 28,426 54,318 $ 91,945 $296,418 $388,363 $ 9,682 29,481 63,682 $102,845 $327,154 $429,999 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity 2001 $ 71,802 36,108 $107,910 $ 50,000 2002 $ 56,382 50,116 $106,498 $35,000 $ 75,000 $75,000 155,453 213,501 $230,543 $288,501 $388,363 $429,999
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Current Ratio Current AssetsCurrent Liabilities 2001 2002 Current Assets 91945 102845 Current Liabil...View the full answer
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Related Book For
Fundamentals Of Corporate Finance
ISBN: 9780072553079
6th Edition
Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan
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