2020 33,319 56,000 120,207 10,018 1,602 548,800 769,976 2019 27,718 72,000 50,086 6,637 876 627,200 784,517 M Balance Sheet S December 31, 2020 6 7 Assets 8 Cash 9 Investment 10 Accounts Receivablo, net 11 Inventory 12 Prepaid expenses 13 Plant and equipment, net 14 Total Assets 15 16 Liabilities and Equity 17 Accounts Payable 18 Accrued Wages payable 19 Income taxes payable 20 Long term note payable, secured by mortgage on plant assets 21 Common shares, 180,000 shares 22 Retained Earnings 23 Total Liabilities and Equity 24 25 26 2018 23,267 56,000 31,304 4,830 537 705,600 821,538 2017 20,938 40,000 17,200 3,784 784,000 866,266 50,086 16,028 36,662 459,200 176,000 132,000 769,976 33,182 8,765 19,370 515,200 176,000 32,000 784,517 24,149 5,366 12,823 571,200 176,000 32,000 821,538 18,920 3,440 8,706 627,200 176,000 32,000 866,266 26 Pandy Mollock Corp. Income Statement 28 For the year ended December 31, 2020 29 30 2020 31 Net sales 1,001,728 32 Cost of goods sold 500,864 33 Gross Profit 500,864 34 Operating expenses 320,553 35 Operating probit 180,311 36 Interest expense 27,552 37 Profit before taxes 152,759 38 Income taxes 36,662 19 Profit 116,097 40 41 42 43 Required: 44 Calculate the following for 2020 and 2019: (12 marks) 45 46 A quick ratio (also known as the acid-test ratio) 47 B. inventory turnover ratio (use Cost of Goods Sold and an average) 18 C. debt ratio 49 D. profit margin ratio 2019 626,050 331,822 291,258 175,302 118,956 30,912 88,046 19320 68,674 2018 447,200 241.488 205,712 107,328 98,384 341,272 64,112 12,822 51,290 2017 344,000 189,200 154,500 68,800 86,000 37,632 18,368 8,706 39,662