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7 NEW Bargain Deal, Inc., is a leading retailer specializing in consumer electronics. A condensed income statement and balance sheet for the fiscal year ended
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NEW Bargain Deal, Inc., is a leading retailer specializing in consumer electronics. A condensed income statement and balance sheet for the fiscal year ended January 28, 2017, are shown below. $ 2,106 1,318 1,227 5,064 Bargain Deal, Ine. Balance Sheet At January 28, 2017 ($ in million) Assets Current assets: Cash and cash equivalenta Short-term investments Accounts receivable (net) Inventory Other current assets Total current assets Long-term assets Total assets Liabilities and shareholders' Equity Current liabilities: Accounts payable Other current liabilities Total current liabilities Long-term liabilities Shareholders' equity Total liabilities and shareholders' equity 10,133 $13,831 $ 5,100 3.775 8.875 2.242 2.714 $13,831 Bargain Deal, Ine. Income Statement For the Year Ended January 20, 2017 (5 in millions) Revenues $39,593 costs and expenses 38,166 Operating income 1,427 Other income (expense) (78) Income before income taxes 1,349 Income tax expense Net income 651 "Includes $197 of interest expense. Total liabilities and shareholders' equity $13,831 eBook Bargain Deal, Ine. Income Statement For the Year Ended January 28, 2017 ($ in millions) Revenues $39,593 Costs and expenses 38,166 Operating income 1.427 Other income (expense) (78) Income before income taxes 1,349 Income tax expense 698 Net income $ 651 Hint ferences "Includes $197 of interest expense. Required: 1-a. Calculate the current ratio for Bargain Deal for its fiscal year ended January 28, 2017 1-b. Calculate the acid-test ratio for Bargain Deal for its fiscal year ended January 28, 2017 1-c. Calculate the debt to equity ratio for Bargain Deal for its fiscal year ended January 28, 2017 1-d. Calculate the times interest earned ratio for Bargain Deal for its fiscal year ended January 28, 2017 (For all requirements, round your answers to 2 decimal places.) 1-a. Current ratio 1-b. Acid-test ratio 1-c. Debt to equity ratio 1-d. Times interest eamed ratio times Step by Step Solution
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