Question
9-40 pts The financial statements of Euchre Company appear below: EUCHRE COMPANY Comparative Balance Sheet December 31, Assets Cash Marketable securities Accounts receivable (net). Inventory
9-40 pts The financial statements of Euchre Company appear below: EUCHRE COMPANY Comparative Balance Sheet December 31, Assets Cash Marketable securities Accounts receivable (net). Inventory Property, plant and equipment (net) Total assets Liabilities and stockholders' equity Accounts payable Short-term notes payable 2021 $ 25,000 2020 $ 40,000 20,000 60,000 50,000 30,000 160,000 170,000 170,000 200,000 $425,000 $500,000 Bonds payable Common stock $ 45,000 40,000 75,000 175,000 $ 30,000 90,000 160,000 145,000 Retained earnings 90,000 75,000 Total liabilities and stockholders' equity.. $425,000 $500,000 Net sales Cost of goods sold Gross profit Expenses Interest expense Selling expenses Administrative expenses Total expenses Income before income taxes Income tax expense Net income EUCHRE COMPANY Income Statement For the Year Ended December 31, 2021 $380,000 200,000 180,000 $25,000 30,000 20.000 75,000 105,000 35,000 $ 70.000 Additional information: a. Cash dividends of $17,500 were declared and paid in 2021. b. Weighted-average number of shares of common stock outstanding during 2021 was 35,000 C. shares. Market value of common stock on December 31, 2021, was $25 per share. d. Net cash provided by operating activities for 2021 was $65,000. Instructions Using the financial statements and additional information, compute the following ratios for the Euchre Company for 2021. Show all computations. I 1. Current ratio 2. Return on common stockholders' equity. 3. Price-earnings ratio, 4. Inventory turnover ratio, 5. Receivables turnover. 6. Times interest earned 7. Profit margin ratio 8. Asset turnover ratio 9. Dividend yield 10. Return on assets
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started