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Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2018, and 2019
Bethesda Mining Company reports the following balance sheet information for 2018 and 2019. |
BETHESDA MINING COMPANY Balance Sheets as of December 31, 2018, and 2019 | |||||||||||||
2018 | 2019 | 2018 | 2019 | ||||||||||
Assets | Liabilities and Owners’ Equity | ||||||||||||
Current assets | Current liabilities | ||||||||||||
Cash | $ | 63,014 | $ | 79,447 | Accounts payable | $ | 187,422 | $ | 195,111 | ||||
Accounts receivable | 64,781 | 85,139 | Notes payable | 82,520 | 134,088 | ||||||||
Inventory | 117,852 | 182,862 | |||||||||||
Total | $ | 269,942 | $ | 329,199 | |||||||||
Total | $ | 239,647 | $ | 347,448 | |||||||||
Long-term debt | $ | 230,000 | $ | 166,750 | |||||||||
Owners’ equity | |||||||||||||
Common stock and paid-in surplus | $ | 225,000 | $ | 225,000 | |||||||||
Accumulated retained earnings | 185,091 | 222,960 | |||||||||||
Fixed assets | |||||||||||||
Net plant and equipment | $ | 658,847 | $ | 590,028 | Total | $ | 410,091 | $ | 447,960 | ||||
Total assets | $ | 908,033 | $ | 941,909 | Total liabilities and owners’ equity | $ | 908,033 | $ | 941,909 | ||||
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.) |
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