Answered step by step
Verified Expert Solution
Question
1 Approved Answer
19. In 2018 Azalea Co. had a ROE of 20%. In 2019, ROE fell to 18%. The following ratios were the same in 2018 and
19. In 2018 Azalea Co. had a ROE of 20%. In 2019, ROE fell to 18%. The following ratios were the same in 2018 and 2019: operating profit margin, total asset turnover, equity multiplier. Which of the following is most likely true? O a. DSO was higher in 2018 than 2019 O b. there was a significant increase in operating costs in 2019 O c. depreciation was higher in 2018 than 2019 O d. control of interest and tax expenses was worse in 2019 than in 2018 20. Consider the following balance sheet information for Gardenia Co: Current ratio = 4.5x Total current liabilities = $150,000 Accounts receivable = $325,000 Inventories = $200,000 If current assets consist only of cash, accounts receivable, and inventories, what is the amount of cash on Gardenia's balance sheet? O a. $75,000 O b. $100,000 O c. $125,000 O d. $150,000 O e. none of the above
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started