17 good's Assignment godcomes ACCHAN gous Due one 18 , 2023 ACCT4801 Recained Earnings 10 090 27 000 1 010 000 1 027 000 Question 4 goup & 2 duplicate owner's Equity Total Liabilities and Owner's Equity $2 365 000 $2 337 000 The Hill Top Inn commenced operations on January 1, 20x1, and has been operating for two years. Assume that you are the new assistant manager, desirous of gaining insight into the Inn's financial Condensed Income Statements Hill Top Inn condition. Balance Sheets and condensed Income Statements for the two years are as follows: For years ended December 31, 20x1 and 20x2 20x 1 20x Hill Top Inn, Inc. Balance Sheets Sales $1 200 000 $1 400 000 December 31, 20x1 and December 31, 20x2 Operated Department Expense 620 000 700 000 20x 1 20x2 580 000 700 ODD Assets Operated Department Income Undistributed Operating Expenses 380 ODD 400 000 Current Assets: S Total Income after Undistributed Operating Expenses 200 090 300 000 Cash Fixed Charges 185 000 200 000 10 000 15 000 Income Taxes 5 000 45 ODD Marketable Securities 50 000 Net Income OOO OTS $55 000 Accounts Receivables 55 000 60 000 Calculate and interpret the following ratios for both years: Inventories 10 000 - 12 000 Current ratio B. Accounts Receivables Turnover ratio Total Current Assets 75 000 C Asset-to-Liability ratio 137 000 D Debt-to-Equity ratio Property and Equipment: Quick ratio (Total 25 marks) Land 100 000 100 000 Building (net) 1 950 000 1 900 000 Furniture and Equipment (net) 240 000 200 000 17/05 The Council of Community Colleges of Jamaica Page 12 Total Property & Equipment 2 290 000 2 200 000 Total Assets 2 365 000 2 337 000 Liabilities and Owners' Equity: Current Liabilities 55 000 Long-term Debt 60 000 1 300 000 Total Liabilities 1 250 000 1 355 000 Owner's Equity: 1 310 000 Common Stock 1 000 000 1 000 000 17/05 The Council of Community Colleges of Jamaica Page 11