Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. 2018 2019 BETHESDA MINING COMPANY Balance Sheets as of December 31, 2018

image text in transcribedimage text in transcribed

Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. 2018 2019 BETHESDA MINING COMPANY Balance Sheets as of December 31, 2018 and 2019 2018 2019 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash $ 65,470 $82,487 Accounts payable Accounts receivable 65,281 85,639 Notes payable 181,549 Inventory 116,676 $ 186,922 $ 194,611 82,020 133,588 Total $268,942 $ 328,199 Total $247,427 349,675 $ $ 231,000 167,750 Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings $224,000 $224,000 182,232 219,704 Fixed assets Net plant and equipment $658,747 $ $589,978 Total $406,232 $ 443,704 Total assets $ 906,174 939,653 $ Total liabilities and owners' equity $ 906,174 $939,653 Calculate the following financial ratios for each year: a. Current ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. Quick ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) c. Cash ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) d. Debt-equity ratio and equity multiplier. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) e. Total debt ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) a. 2018 current ratio times 2019 current ratio times b. times 2018 Quick ratio 2019 Quick ratio times C. 2018 Cash ratio times times d. times times 2019 Cash ratio 2018 Debt-equity ratio 2018 Equity multiplier 2019 Debt-equity ratio 2019 Equity multiplier 2018 Total debt ratio 2019 Total debt ratio times times e times times

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Bitcoin Mining The New Gold Rush Bitcoin Mining Is The Future

Authors: Sam Sutton

1st Edition

1985654717, 978-1985654716

More Books

Students also viewed these Finance questions