Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7)

image text in transcribed

Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11) return on equity. (Do not round intermediate calculations.) ALL 10 ANSWERS SHOULD BE IN TABLE FORMAT PLEASE!!!!

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory, $46,900; total assets, $199,400; common stock, $84,000; and retained earnings, $39,437.) \begin{tabular}{|c|c|c|c|c|c|c|c|c|} \hline (5) & \multicolumn{5}{|c|}{ Days' Sales in Inventory. } \\ \hline & Numerator: & 1 & Denominator: & & Days & = & Days' Sales in Inventory \\ \hline & & / & & & & = & Days' sales in inventory \\ \hline & & 1 & & & & = & 0 & days \\ \hline \end{tabular} (10) Return on Total Assets \begin{tabular}{|c|c|c|c|c|c|} \hline Numerator: & 1 & Denominator: & = & \multicolumn{1}{c|}{ Return on Total Assets } \\ \hline & & / & = & \multicolumn{2}{|c|}{ Return on total assets } \\ \hline & 1 & = & 0 \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|l|} \hline (11) & \multicolumn{5}{|c|}{ Return on Equity. } \\ \hline & Numerator: & 1 & Denominator & = & Return On Equity \\ \hline & & 1 & & = & Return on equity \\ \hline & & 1 & = & 0% \\ \hline \end{tabular}

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

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

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions