Additional Information

a$.$ A $$30,000$ notes payable is retired at its $$30,000$ carrying $($book$)$ value in exchange for cash.

b$.$ The only changes affecting retained earnings are net income and cash dividends paid.

c$.$ New equipment is acquired for $$72,600$ cash.

d$.$ Received cash for the sale of equipment that had cost $$63,600,$ yielding a $$3,500$ gain.

e$.$ Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement.

f$.$ All purchases and sales of inventory are on credit.

$3\mathrm{.}12$

points

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Exercise $12-12($Algo$)$ Part $2$

$(2)$ Compute the company's cash flow on total assets ratio for its fiscal year $2021.$

$\backslash$table$[[$Cash Flow on Total Assets Ratio$],[$Choose Numerator:,$1,$Choose Denominator:,$=,$Cash Flow on Total Assets Ratio$],[$Operating cash flows,$1,$Average total assets,$=,$Cash flow on total assets ratio$],[,1,$vdots,,$]]$