Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bethesda Mining Company reports the following balance sheet information for 2015 and 2016. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2015 and 2016

Bethesda Mining Company reports the following balance sheet information for 2015 and 2016.

BETHESDA MINING COMPANY Balance Sheets as of December 31, 2015 and 2016
2015 2016 2015 2016
Assets Liabilities and Owners Equity
Current assets Current liabilities
Cash $ 34,678 $ 44,680 Accounts payable $ 192,922 $ 200,611
Accounts receivable 59,281 79,639 Notes payable 88,020 139,588
Inventory 130,795 197,317 Total $ 280,942 $ 340,199
Total $ 224,754 $ 321,636 Long-term debt $ 243,000 $ 179,750
Owners equity
Common stock and paid-in surplus $ 212,000 $ 212,000
Fixed assets Accumulated retained earnings 146,359 179,065
Net plant and equipment $ 657,547 $ 589,378 Total $ 358,359 $ 391,065
Total assets $ 882,301 $ 911,014 Total liabilities and owners equity $ 882,301 $ 911,014

Based on the balance sheets given for Bethesda Mining, 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.)

Current ratio
2015 times
2016 times

b. Quick ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Quick ratio
2015 times
2016 times

c. Cash ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Cash ratio
2015 times
2016 times

d. Debtequity ratio and equity multiplier. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Debtequity ratio Equity multiplier
2015 times times
2016 times times

e. Total debt ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Total debt ratio
2015 times
2016 times
I have A and B but can not figure out C-E.

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

Step: 3

blur-text-image

Ace Your Homework with AI

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

Get Started