1, Using Financial Statements

Financial Statements for Doctors Smith and Brown are provided in the next couple

of pages. Use the doctors Balance Sheet, Statement of Net Income, and Statement of

Capital for the three questions for this discussion.

A. First, identify the following doctors Balance Sheet and Statement of Net Income

components. Then, list the name of each component and its amount(s) from the

appropriate financial statement as listed below

Item

Amount

Current Liabilities

Total Assets

Income from Operations

Accumulated Depreciation

Total Operating Revenue

Current Portion of Long-Term Debt

Interest Income

B. Now, take a look at Doctors Smith and Browns Balance Sheet, in it Patient Accounts

Receivable is stated as $40,000. Do you think this figure is net of an Allowance for Bad

Debts? (why or why not?)

C. Lastly, refer to the Doctors Smith and Brown financial statements, set up a worksheet for

the current ratio and the quick ratio then compute the ratios.

I am confused how to start this can someone help?