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2022 2021 Accounts payable 22,000 1,130 Accounts receivable 25,567 6,268 Accumulated depreciation-equipment 2,960 1,160 Advertising expense 550 Allowance for uncollectible accounts 1,700 1,200 Bank

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2022 2021 Accounts payable 22,000 1,130 Accounts receivable 25,567 6,268 Accumulated depreciation-equipment 2,960 1,160 Advertising expense 550 Allowance for uncollectible accounts 1,700 1,200 Bank loan due to 2 years 18,000 15,000 Cash 7,987 22,985 Common stock 60,000 59,000 Cost of goods sold 114,052 Delivery expense 240 Depreciation expense-Office equipment 320 Depreciation expense-Store equipment 1,160 Insurance expense of administartive building 535 Inventory 40,674 0,000 Office equipment 47,100 7,300 Prepaid insurance 1,080 1,565 Prepaid rent 815 815 Rent expense of administrative building 1,150 Rent expense of store 1,125 Repairs expense-Computer of office 910 Retained earnings (Dec. 31, 2022) 22,613 8,160 Salaries expense of sales department 1,200 Salaries of accountants 1,550 Salaries payable 865 560 Sales 151,100 Sales discounts 2,300 Sales returns & allowances 5,600 Short term investment 3,000 15,000 Supplies 2,015 520 Store Supplies expense 1,255 Unearned e revenue 100 2,500 List of accounts of MAN Corp. as of Dec.31, 2022 is above, Required: a- Prepare multiple-step income statement and classified balance sheet of the company as of Dec. 31, 2022. b- Compute the followings: (1) current ratio, (2) quick ratio, (3) receivable turnover, (4) collection period, (5) inventory turnover 6) days' of inventory on hand, (7) debt ratio, (8) debt-to-equity ratio (9) gross profit ratio c-You determine that the following ratios are typical of companies in MAN Corp.'s industry. Evaluate the situation of the company by comparing with industry average. Current ratio. Quick ratio 3.00 2.00 Days to collect receivables 30 days Days in inventories Debt to equity 120 days 0.55

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