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Consider the following company's balance sheet and income statement. Balance Sheet Assets Cash Accounts receivable Inventory Total current assets $ 9,000 Liabilities and Equity
Consider the following company's balance sheet and income statement. Balance Sheet Assets Cash Accounts receivable Inventory Total current assets $ 9,000 Liabilities and Equity Accounts payable $ 35,000 64,000 Notes payable 17,000 45,000 118,000 Total current liabilities 52,000 Fixed assets 80,000 Long-term debt 24,000 Equity 122,000 Total assets $ 198,000 Total liabilities and equity $ 198,000 Income Statement Sales (all on credit) Cost of goods sold $ 240,000 150,000 Gross margin Selling and administrative expenses Depreciation EBIT Interest expense Earnings before tax Taxes Net income 90,000 25,000 5,000 60,000 5,300 54,700 16,410 $ 38,290 For this company, calculate the following: (Use 365 days in a year. Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16)) Answer is not complete. a. Current ratio 2.27 times b. Number of days' sales in receivables 97.00 days C. Sales to total assets 1.21 times d. Number of days in inventory 110.00 days e. Debt-to-asset ratio 38.38 % f. Cash-flow-to-debt ratio % g. Return on assets 19.34 % h. Return on equity 31.38 %
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