8.singleQuestionNo=8.&postSubmissionView=13 Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31, 2019. 2018, and 2017 2019 2018 Sales $ 549,628 $ 421,060 Cost of goods sold 330,876 266,531 Gross profit 218,752 154,529 Selling expenses 78,047 58,106 Administrative expenses 49,467 37,053 Total expenses 127,514 95,159 Income before taxes 91.238 59,370 Income tax expense 16,970 12,171 Net Income $ 74,268 $ 47199 2017 $ 292,200 187,008 105,192 38,570 24.253 62.823 42.369 8,601 $ 33.768 KORBIN COMPANY Comparative Balance Sheets December 31, 2019, 2018, and 2017 2019 2018 2017 $ 55,952 0 103,911 $ 159,863 $ 37.449 $ 50,060 500 3,610 94,849 56,353 $ 132,798 $ 110,023 Assets Current assets Long-term investments Plant assets.net Total assets Llabilities and Equity Current liabilities Common stock Other pald-in capital Retained earnings Total liabilities and equity $ 23,340 68,000 8,500 60,023 $ 159.863 $ 19,787 $ 19.254 68.000 50.000 8,500 5,556 36,511 35,213 $ 132,798 $ 110,023 Award: 1.81 points 4. Refer to the results from parts 1, 2, and 3. (a) Did cost of goods sold make up a greater portion of sales for the most recent year? Yes O No (b) Did income as a percent of sales improve in the most recent year? Yes O No (c) Did plant assets grow over this period? Yes No References Worksheet Learning Objective: 17-P1 Explain and apply methods of horizontal analysis Loaming Objective: 17-P3 Define and Difficulty: 3 Hard Learning Objective: 17-P2 Describe and apply methods of vertical analysis Chapter 17 Saved Help Save & Exit Su Check my wor 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, $54,900; total assets, $209,400; common stock. $82,000; and retained earnings, $41786.) CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 449,600 Cost of goods sold 298,150 Gross profit 151,450 Operating expenses 99,5ee Interest expense 4,280 Income before taxes 47,750 Income tax expense 19, 236 Net income $ 28,514 $ Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity 12, eee Accounts payable 9,2ee Accrued wages payable 32,800 Incone taxes payable 36,150 Long-term note payable, secured by mortgage on plant assets 3RL watne 17,500 4.800 4.300 66,400 Dronnin avansa 240 AM 11/ D to search Help Assets Cash Short-term investments Accounts receivable, net Merchandise inventory $ Balance Sheet December 31 Liabilities and Equity $ 12, eee Accounts payable 9,200 Accrued wages payable 32,882 Income taxes payable 36,150 Long-term note payable, secured by mortgage on plant assets 2,850 Common stock 152,3ee Retained earnings $ 245,300 Total liabilities and equity 17,500 4,8ee 4,300 66,4ee Prepaid expenses Plant assets, net Total assets 82, eee 70,300 $ 245, 3ee Required: Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected. (4) inventory turnover. (5) days' sales (6) debt-to-equity ratio. (7) times interest earned. (8) profit margin ratio. (9) total asset turnover (10) return on total assets, on common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Reg 5 Reg 6 Reg 7 Reg 8 Req 9 Req 10 Req 11 Compute the current ratio and acid-test ratio. Prev 9 of 11 !!! Next > search - Chapter 17 - Connect - Chapter 17 Saved Help Save Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Reg 5 Reg 6 Req 7 Req8 Req 9 Req 10 Reg 11 Compute the current ratio and acid-test ratio. Current Ratio Choose Denominator: Choose Numerator 1 Current Ratio Current ratio 1 to 1 (2) Acid-Test Ratio Choose Denominator: Choose Numerator: 1 Acid-Test Ratio Acid-Test Ratio to 1 1 Reu 1 and 2 Req3 > = to search com 15 - Chapter 17 - Connect 5 - Chapter 17 Saved Help Save & Exit Check Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req4 Reg 5 Reg 6 Req7 Req 8 Reg 9 Req 10 Reg 11 Compute the days' sales uncollected. (3) Choose Numerator: Days Sales Uncollected Choose Denominator: X Days Days Sales Uncollected 1 X Days sales uncollected 1 days to search 5 - Chapter 17 - Connect 5 - Chapter 17 Saved Help Savec CH Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Ref 4 Reg 5 Req 6 Reg 7 Req8 Reg 9 Req 10 Req 11 Compute the inventory turnover. (4) Inventory Turnover Choose Denominator: Choose Numerator: 1 1 = Inventory Turnover Inventory turnover times ces o here to search E - Chapter 17 6 Saved Help Save & Che Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req 4 Reg 5 Reg 6 Req 7 Reg 8 Reg 9 Req 10 Req 11 Compute the days' sales in inventory. (5) Days' Sales in Inventory Choose Denominator: Choose Numerator: X Days Days Sales in Inventory Days' sales in inventory days 1 se to search Chapter 17 - Connect Chapter 17 0 Saved Help un Complete this question by entering your answers in the tabs below. Reg 1 and 2 Reg 3 Reg 4 Reg 5 Reg 6 Req 7 Req8 Req 9 Req 10 Req 11 Compute the debt-to-equity ratio. (6) Debt-to-Equity Ratio Choose Denominator: Cho Numerator: Debt-to-Equity Ratio Debt-to-equity ratio to 1 Prev 9 of 11 Next Chapter 17 - Connect Chapter 17 0 Saved Help Save & Exit Sub Check my work Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Reg 5 Reg 6 Leq 7 Reg 8 Reg 9 Reg 10 Req 11 Compute the times interest earned. 17 Times Interest Earned Choose Numerator: 1 Choose Denominator: Times Interest Earned Times interest earned times 24 AM 3/1/2021 O search - Chapter 17 - Connect - Chapter 17 6 Saved Help Save & Che Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Reg 4 Reg 5 Reg 6 Req 7 Reg 8 Req 9 Req 10 Reg 11 Compute the profit margin ratio. (8) Profit Margin Ratio Choose Denominator: Choose Numerator: 1 Profit margin ratio Profit margin ratio 1 e to search O at n.com t#5 - Chapter 17 - Connect #5 - Chapter 17 Saved Help Sa Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req 4 Reg 5 Reg 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the total asset turnover. (9) Total Asset Turnover Choose Denominator: Choose Numerator: 1 Total Asset Turnover Total asset turnover times 1 es Prey Next Chapter 17 - Connect Chapter 17 Saved Help Save & E Ches Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Reg 5 Req 6 Req 7 Reg 8 Req 9 Reg 10 Reg 11 Compute the return on total assets. (10) Return on Total Assets Choose Denominator: 1 Choose Numerator: = Return on Total Assets Return on total assets 1 96 to search Chapter 17 - Connect Chapter 17 Saved Help Save & Exit Sul Check my word aplete this question by entering your answers in the tabs below. and 2 Reg 3 Reg 4 Reg 5 Reg 6 Req 7 Req8 Reg 9 Req 10 Reg 11 pute the return on common stockholders' equity. Choose Numerator: Return on Common Stockholders' Equity Choose Denominator ### Return On Common Stockholders' Equity = Return on common stockholders' equity earch 2:44 AM 3/1/2021