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Complete the Following rations for Quixote Consulting used in Unis 2 and 3. I need to calculate the ratios in the unit 4 attachment using
Complete the Following rations for Quixote Consulting used in Unis 2 and 3. I need to calculate the ratios in the unit 4 attachment using the information in the unit 2&3 attachment. Hope you can help. I am very Confused. Thank you
The Unit 4 Assignment is worth 40 Points. Notes: 1) Some of the ratios do NOT have sufficient data to compute a ratio. In those ratios, simply type "Insufficient data to Compute". The objective is to provide you an opportunity to employ critical thinking. You need to be able to discern whether or not all elements are present. 2) In the ratios that require an "Average" - assume that the BEGINNING Account Balance = - 0-. 3) Remember, .50% is NOT the same as 50%. 4) Use all transactions that include "Sales on Account" as "Net Credit Sales". 5) Be sure to include your formulas in the proper cell. If you simply input an answer, feedback may be limited. If you include your computations, additional feedback will be possible when an incorrect answer is given. 6) Complete all ratios in all 3 sections - Parts A, B & C. There are 4 ratios in Part A, 2 in Part B, and 3 in Part C. Complete the Following rations for Quixote Consulting used in Unis 2 and 3. You may use formulas as needed Formula Calculation (words) (numbers) Result A. Liquidity Ratios 1. Current Ratio = Current Assets Current Liabilities = 2. Acid Test Ratio = Current Assets - Inventories Current Liabilities = = 3. Inventory turnover = Cost of Goods Sold Average Inventory = = times Net Sales Average Accounts Receivable = = times 4. Accounts Receivable turnover = 26795 3120 = 8.59 B. Solvency Ratios 1. Debt to Total Asset ratio = Debt Total Assets = = 2. Times-interest-earned ratio = EBIT + Interest Interest = = % times C. Profitability Ratios 1. Profit Margin = Net Income Sales = = % 2. Asset Turnover 3. Return on Assets = = Sales Average Assets = Net Income + Other Expenses Average Assets = = % = % Prepare journal entries to record the June transactions in the General Journal below. General Journal Description(Account Name) Date 1-Jun Cash Account Receivable Supplies Office Equipment Dustin Lake Captial Debit Credit 10,000 1500 1250 7500 20250 1-Jun Pre-Paid Rent Cash 4500 2-Jun Pre-Paid Insurance Cash 1800 4-Jun Cash 3000 4500 1800 3000 Unearned Fees (Advanced Payment from client) 5-Jun Office Equipment Account Payable (Purchase of Equipment) 6-Jun Cash Accounts Payable (payment form client) 1800 1800 800 800 10-Jun Misc. Expense Cash (Newspaper Add) 120 12-Jun Accounts Payable Cash (Paid Crawford on account) 800 12-Jun Account Receivable Fees Earned (Accts serviced June 1-12) 2250 14-Jun Salary Exspense Cash (paid part-time receptionist) 400 17-Jun Cash Fees Earned (Accounts serviced June 1-16) 18-Jun Supplies Cash (paid for supplies) 120 800 2250 400 3175 3175 750 750Step by Step Solution
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