ch 24 Q 5. Thanks!
Flounder Corporation was formed S years ago through a public subscription of common stock, Daniel Brown, who owns 15% of the common stock, was one of the organizers of Flounder and is its current president. The company has been successful, but it currently is experiencing a shortage of funds, On June 10,2021, Daniel Brown approached the Topeka National Bank, asking for a 24-month extension on two $34,920 notes, which are due on June 30, 2021, and September 30, 2021. Another note of $5,970 is due on March 31, 2022, but he expects no difficulty in paying this note on its due date. Brown explained that Flounder's cash flow problems are due primarily to the company's desire to finance a $300,720 plant expansion over the next 2 fiscal years through internally generated funds. The commercial loan officer of Topeka National Bank requested the following financial reports for the last 2 fiscal years. 3 Cash dividerds were paid at the rate of $1 per share in fiscal year 2020 and $2 per share in fiscal year 2021. "Depreciation charges on the plant and equipment of $100,020 and $102,710 for fiscal years ended March 31, 2020 and 2021. respectively, are included in cost of goods sold. (a) Compute the following items for Flounder Corporation. (Round answers to 2 decimal places, es. 2.25 or 2.25\%.) 1. Current ratio for fiscal years 2020 and 2021. 2. Acid-test (quick) ratio for fiscal years 2020 and 2021. 3. Inventory turnover for fiscal year 2021. 4. Return on assets for fiscal years 2020 and 2021. (Assume total assets were $1,682,280 at 3/31/19.) 5. Percentage change in sales, cost of goods sold, gross margin, and net income after taxes from fiscal year 2020 to 2021. 1. Current ratio :1 :1 2. Acid-test (quick) ratio :1 1 3. Inventory turnover times 4. Return on assets % % 5. Percer Changes SalesrevenuePercentIncrease%% Cost of goods sold % Gross margin % Net income after taxes % Flounder Corporation was formed S years ago through a public subscription of common stock, Daniel Brown, who owns 15% of the common stock, was one of the organizers of Flounder and is its current president. The company has been successful, but it currently is experiencing a shortage of funds, On June 10,2021, Daniel Brown approached the Topeka National Bank, asking for a 24-month extension on two $34,920 notes, which are due on June 30, 2021, and September 30, 2021. Another note of $5,970 is due on March 31, 2022, but he expects no difficulty in paying this note on its due date. Brown explained that Flounder's cash flow problems are due primarily to the company's desire to finance a $300,720 plant expansion over the next 2 fiscal years through internally generated funds. The commercial loan officer of Topeka National Bank requested the following financial reports for the last 2 fiscal years. 3 Cash dividerds were paid at the rate of $1 per share in fiscal year 2020 and $2 per share in fiscal year 2021. "Depreciation charges on the plant and equipment of $100,020 and $102,710 for fiscal years ended March 31, 2020 and 2021. respectively, are included in cost of goods sold. (a) Compute the following items for Flounder Corporation. (Round answers to 2 decimal places, es. 2.25 or 2.25\%.) 1. Current ratio for fiscal years 2020 and 2021. 2. Acid-test (quick) ratio for fiscal years 2020 and 2021. 3. Inventory turnover for fiscal year 2021. 4. Return on assets for fiscal years 2020 and 2021. (Assume total assets were $1,682,280 at 3/31/19.) 5. Percentage change in sales, cost of goods sold, gross margin, and net income after taxes from fiscal year 2020 to 2021. 1. Current ratio :1 :1 2. Acid-test (quick) ratio :1 1 3. Inventory turnover times 4. Return on assets % % 5. Percer Changes SalesrevenuePercentIncrease%% Cost of goods sold % Gross margin % Net income after taxes %
