asuun5 View Policies Current Attempt in Progress Ivanhoe Corporation was formed 5 years ago through a public subscription of common stock. Daniel Brown, who owns 15% of the common stock was one of the organizers of Ivanhoe and is its current president. The company has been successful but it currently is experiencing a shortage of funds. On June 10, 2018, Daniel Brown approached the Topeka National Bank, asking for a 24-month extension on two $34.920 notes, which are due on June 30, 2018, and September 30, 2018. Another note of $6.040 is due on March 31, 2019, but he spects ne difficulty in paying this note on its due date. Brown explained that Ivanhoe's cash flow problems are due primarily to the company's desire to finance a $298.670 plant expansion over the next 2 fiscal years through internally generated funds. The commercial loan officer of Topeka National Bank requested the following fancial reports for the last fiscal years. IVANHOE CORPORATION BALANCE SHEET MARCH 31 2018 2017 Assets $18060 $12.500 Cash 146,670 131.400 131210 125.300 Notes receivable Accounts receivable net) Inventaries (at cost) Plant & equipment net of depreciation) 104,100 50,310 1.444.340 1.429.170 51.844.880 $1.748.760 Total assets Liabilities and Owners'Equity 591520 Accounts payable 61310 $79.330 76,670 2.240 1295390 Notes payable 15.240 Accrued liabilities 1.301.330 IVANHOE CORPORATION BALANCE SHEET MARCH 31 Assets 2018 2017 Cash $18,060 $12,500 Notes receivable 131,400 125,380 Accounts receivable (net) Inventories (at cost) 146,670 131,210 104,100 1,444,840 $1.844,880 50,310 Plant & equipment (net of depreciation) 1,429,170 Total assets $1.748,760 Liabilities and Owners' Equity Accounts payable $79,330 76,670 Notes payable $91,520 61,310 15.240 2,240 Accrued liabilities Common stock (130,000 shares, $10 par) 1,295,390 1,301,330 Retained earnings 391,250 279,360 Total liabilities and stockholders' equity $1.844.880 $1.748,760 "Cash dividends were paid at the rate of $1 per share in fiscal year 2017 and $2 per share in fiscal year 2018 IVANHOE CORPORATION INCOME STATEMENT FOR THE FISCAL YEARS ENDED MARCH 31 Sales revenue $3.000.000 527673550 MO Cost of woods sold 1471140 1249.790 Gross margin 780,390 Operating expenses 611.720 Income before income taxes 1770 2446 Income (4030 $281.840 $17032 Net income included in costo Depreciation charges on the plant and equipment of $99.950 and $101.590 for fiscal years ended March 31, 2017 and 2011, respective 2.25 or 2.25%) (a) Compute the following items for Ivanhoe Corporation, Round answer to 2 decimal places, (1) Current ratio for fiscal years 2017 and 2018 (2) Adid test quick ratio for fiscal years 2017 and 2018 (3) Inventory turnover for fiscal year 2018 14 Return on assets for fiscal years 2017 and 2018. Assume total assets were $1.601.7803/31/16) (5) Percent change in sales, cost of woods sold rosmarin, and net income after tres from fiscal year 2017 2018 2017 2018 (1) Current ratio (2) Acid-test (quick) ratio (3) Inventory turnover times (4) Return on assets (5) Percent Changes Percent Increase Sales revenue Cost of goods sold de Gross margin Net income after taxes de
