Question
2018 2017 Cash $56,000 $52,000 Short-term Investments 32,000 0 Net Accounts Receivables 146,000 120,000 Merchandise Inventory 227,000 267,000 Total Assets 555,000 535,000 Total Current Liabilities
2018 2017
Cash $56,000 $52,000
Short-term Investments 32,000 0
Net Accounts Receivables 146,000 120,000
Merchandise Inventory 227,000 267,000
Total Assets 555,000 535,000
Total Current Liabilities 275,000 182,000
Long-term Note Payable 48,000 62,000
Income from Operations 180,000 163,000
Interest Expense 44,000 39,000
Compute the debt to equity ratios for 2018
2018 and 2017.
Begin by selecting the formula to compute the debt to equity ratio.
Debt to equity = Total liabilities / Total equity
Now, compute the debt to equity ratios for 2018 and 2017.
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Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, G. Richard Chesley, Ray Carroll
6th Canadian Edition
0070915164, 9780070915169
