Answered step by step
Verified Expert Solution
Question
...
1 Approved Answer
Can you please help me with this question Crane Corporation began operations January 1, 2022. Given the below information for Crane Corporation: Crane Corporation Statement
Can you please help me with this question
Crane Corporation began operations January 1, 2022. Given the below information for Crane Corporation:
Crane Corporation Statement of Financial Position December 31 | |||||
2023 | 2022 | ||||
Cash | $15,600 | $10,100 | |||
Accounts Receivable | 24,400 | 18,400 | |||
Inventory | 14,400 | 14,000 | |||
Total Current Assets | 54,400 | 42,500 | |||
Property, Plant & Equipment | 72,900 | 72,900 | |||
Total Assets | 127,300 | 115,400 | |||
Accounts Payable | 9,400 | 9,000 | |||
Deferred Revenue | 15,400 | 20,000 | |||
Note Payable (due 2026) | 40,900 | 40,900 | |||
Total Liabilities | 65,700 | 69,900 | |||
Common Shares | 20,000 | 20,000 | |||
Retained Earnings | 41,600 | 25,500 | |||
Shareholders' Equity | 61,600 | 45,500 | |||
Total Liabilities & Equity | 127,300 | 115,400 |
Crane Corporation Statement of Income For the year ending December 31 | |||||
2023 | 2022 | ||||
Sales | $216,600 | $119,900 | |||
Cost of goods sold | 129,600 | 78,700 | |||
Gross margin | 87,000 | 41,200 | |||
Operating expenses | 64,800 | 22,600 | |||
Interest expense | 5,100 | 2,500 | |||
Income before income tax | 17,100 | 16,100 | |||
Income tax expense | 3,420 | 3,220 | |||
Net income | 13,680 | 12,880 |
(a)
Calculate debt-to-total assets ratios. (Round answers to 2 decimal places, e.g. 15.25%.)
2023 | 2022 | ||||
Debt-to-total assets ratios | % | % |
Identify for each whether or not there has been a year-over-year improvement or deterioration.
The debt-to-total assets ratio has decreasedincreased year-over-year indicating an improvementa deterioration. |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started