Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2a (all blue boxes i need help) Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit selected balance sheet amounts

2a (all blue boxes i need help) image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit selected balance sheet amounts at December 31 of the prior year were inventory. $55.900; total assets. $249,900, common stock, 581,000, and retained earnings, $40,394) CABOT CORPORATION Incone Statement For Current Year Ended December 31 Sales $452,600 Cost of goods sold 297,750 Gross profit 154,850 Operating expenses 99,100 Interest expense 5,000 Incone before taxes 50, 750 Income tax expense 20,444 Net Income $ 30, 306 $ Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 20,000 Accounts payable 9,000 Accrued ages payable 32,600 Income taxes payable 34,150 Long-tern note payables secured by foortgage on plant assets 2,950 Connon stock 148 309 Retained earnings $ 247,000 Total Habilities and equity 16,500 3,800 3,600 71,400 Prepaid expenses Plant assets, het Total assets 81,00 20/zee 5 247,000 (1) Current Ratio Choose Numerator: Choose Denominator: Current Ratio Current ratio to 1 (2) Acid-Test Ratio Choose Denominator: Choose Numerator: 11 Acid-Test Ratio Acid-Test Ratio to 1 11 Compute the days' sales uncollected. (3) Days. Sales Uncollected 1 Choose Denominator: Days Choose Numerator: Days Sales Uncollected Days sales uncollected X days (4) Inventory Turnover 1 Choose Denominator: Choose Numerator: Inventory Turnover Inventory turnover times (5) Days' Sales in Inventory Choose Denominator: Choose Numerator: Days Days' Sales in Inventory Days' sales in inventory days (6) Debt-to-Equity Ratio 1 Choose Denominator: Choose Numerator: 11 Debt-to-Equity Ratio Debt-to-equity ratio to 1

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Robert Libby

6th Edition

0077405641, 978-0077405649

More Books

Students also viewed these Accounting questions

Question

2. How do they influence my actions?

Answered: 1 week ago

Question

5. If yes, then why?

Answered: 1 week ago