Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Canadian Bacon Inc. financial statements are presented in the table below. Based on the information in the table, and using a 365-day year, calculate Average

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, and using a 365-day year, calculate Average Day's Purchases.

Round the answers to two decimal places

Balance Sheet December 31, 2011

Cash and marketable securities $143,000 Accounts payable $278,000

Accounts receivable $354,000 Notes payable $87,000

Inventories $672,000 Accrued expenses $65,000

Prepaid expenses $12,500 Total current liabilities $430,000

Total current assets $1,181,500 Long-term debt $284,000

Gross fixed assets $1,675,000 Par value and paid-in-capital $228,000

Less: accumulated depreciation $500,000 Retained Earnings $1,414,500

Net fixed assets $1,175,000 Common Equity 1,642,500

Total assets $2,356,500 Total liabilities and owner's equity $2,356,500

Income Statement Year of 2011

Net sales (all credit) $3,136,600.00

Less: Cost of goods sold $2,195,620.00

Selling and administrative expenses $345,000.00

Depreciation expense $146,000.00

EBI $449,980.00

Interest expense $45,300.00

Earnings before taxes $404,680.00

Income taxes $161,872.00

Net income $242,808.00

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

Principles of Finance

Authors: Scott Besley, Eugene F. Brigham

6th edition

9781305178045, 1285429648, 1305178041, 978-1285429649

More Books

Students also viewed these Finance questions

Question

Psychological issues associated with officiating/refereeing

Answered: 1 week ago