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Compute the missing amounts, and complete the statements of the Abacus Company (Hint: Complete the Income Statement first) ABACUS COMPANY BALANCE SHEET AS OF DECEMBER
Compute the missing amounts, and complete the statements of the Abacus Company | ||||
(Hint: Complete the Income Statement first) | ||||
ABACUS COMPANY | ||||
BALANCE SHEET | ||||
AS OF DECEMBER 31, 2016 | ||||
Cash | ? | Current Liabilities | ? | |
Accounts Receivable (Net) | ? | 7.32% Long-Term Bonds Payable | 3,300,000 | |
Inventory | ? | Common Stock | 2,692,773 | |
PPE (Net) | ? | Retained Earnings | ? | |
Total Assets | 9,905,856 | Total Liabilities and Stockholders' Equity | ? | |
ABACUS COMPANY | ||||
INCOME STATEMENT | ||||
FOR THE YEAR ENDED DECEMBER 31, 2016 | ||||
Net Sales | ? | |||
Cost of Goods Sold | ? | |||
Gross Profit | ? | |||
SGA Expenses | ? | |||
Income from Operations | ? | |||
Interest Expense on Bonds Payable | ? | |||
Income before Income Taxes | ? | |||
Income Tax Expense | ? | |||
Net Income | 788,453 | |||
The following information is available about Abacus Company's financial statements: | ||||
1. The Accounts Receivable Collection Period (DRO) is 43.28 Days | ||||
2. The Days Inventory Outstanding (DIO) is 47.76 Days | ||||
3. The Current Ratio for the firm is 3.26 | ||||
4. The Net Profit Margin for the firm is 9.87% | ||||
5. The Gross Profit Margin for the firm is 36.7% | ||||
6. The Return on Common Equity for the firm is 13.38% | ||||
7. The Income Tax Rate for the firm is 28.2% |
Compute the following information on the Abacus Company | ||||
A) Calculate the Quick Ratio of the firm | ||||
B) Calculate the Operating Profit Margin | ||||
C) Calculate whether the firm is successfully trading on the equity | ||||
D) Calculate the Financial Leverage Index | ||||
E) Calculate the Interest Coverage | ||||
F) Calculate the Altman Z-Score |
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