Question
1. Nash Company has been operating for several years, and on December 31, 2020, presented the following balance sheet. NASH COMPANY BALANCE SHEET DECEMBER 31,
1. Nash Company has been operating for several years, and on December 31, 2020, presented the following balance sheet.
NASH COMPANY BALANCE SHEET DECEMBER 31, 2020 | ||||||
---|---|---|---|---|---|---|
Cash | $42,200 | Accounts payable | $86,100 | |||
Receivables | 78,100 | Mortgage payable | 137,200 | |||
Inventory | 103,900 | Common stock ($1 par) | 160,000 | |||
Plant assets (net) | 218,000 | Retained earnings | 58,900 | |||
$442,200 | $442,200 |
The net income for 2020 was $24,800. Assume that total assets are the same in 2019 and 2020. (a) Compute each of the following ratios. (Round answers to 2 decimal places, e.g. 1.59 or 45.87%.)
(a)Current ratio _____
(b) Acid-test ratio _____
(c)Debt to assets ratio _____
(d)Return on assets ______
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