Question
Bethesda Mining Company reports the following balance sheet information for 2021 and 2022: BETHESDA MINING COMPANY Balance Sheets as of December 31, 2021 and 2022
Bethesda Mining Company reports the following balance sheet information for 2021 and 2022:
BETHESDA MINING COMPANY | |||||
---|---|---|---|---|---|
Balance Sheets as of December 31, 2021 and 2022 | |||||
Assets | 2021 | 2022 | Liabilities and Owners Equity | 2021 | 2022 |
Current assets | Current liabilities | ||||
Cash | $ 52,990 | $ 67,084 | Accounts payable | $ 189,422 | $ 197,111 |
Accounts receivable | 62,781 | 83,139 | Notes payable | 84,520 | 136,088 |
Inventory | 122,559 | 188,119 | Total | $ 273,942 | $ 333,199 |
Total | $ 238,330 | $ 338,342 | Long-term debt | $ 236,000 | $ 172,750 |
Owners equity | |||||
Common stock and paid-in surplus | $ 219,000 | $ 219,000 | |||
Fixed assets | Accumulated retained earnings | 167,635 | 203,121 | ||
Net plant and equipment | $ 658,247 | $ 589,728 | Total | $ 386,635 | $ 422,121 |
Total assets | $ 896,577 | $ 928,070 | Total liabilities and owners equity | $ 896,577 | $ 928,070 |
Based on the balance sheets given, calculate the following financial ratios for each year:
Calculate the following financial ratios for each year:
Current ratio.
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.
Quick ratio.
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.
Cash ratio.
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.
Debt-equity ratio and equity multiplier.
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.
Total debt ratio.
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.
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