Cost of goods sold 11,624 36,744 Gross margin 7,348 17,830 Operating expenses 4,822 12,163 Interest expense 540 2,720 Income before taxes 1,986 2,947 Income tax 900 1,200 Net income 1,086 1,747 Balance sheet (000 omitted) Assets Co A 2018 Co A 2019 Co B 2018 Co B - 2019 Cash 252 1,029 ST Marketable securities 235 2,400 Acct Receviable 700 913 4,000 5,200 Inventory 2800 3,760 8,500 9,912 Prepaid expenses 145 313 Intangibles 134 38,712 PPE (net) 10,685 1, 160 Total assets 15000 16,424 57,500 58,726 Liabilities Co A 2018 Co A 2019 Co B 2018 Co B - 2019 Acct pay 1,035 4,684 ST Note payable 2,000 4,000 Income tax payable 170 236 Bond payable 4,000 30,000 Common stock - $ 2 par 700 Paid in capital 2,000 3,495 10,867 Retained earning 5,024 6,939 Total liability and equity 16,424 58,726 a) Calculate for each company 4) inventory turnover 1) prepare current ratio 2) quick ratio 5) profit margin 6) asset turnover 3) receivable turnover list items in numerator and denominator b) Which company is performing betterTest 4 Final Acct 101 Do any 4 of the 5 problems 1) (000's omitted) 2019 2018 Net sales 200 150 Cost of goods sold 135 110 Gross margin 40 Operating expenses 40 30 Interest expense 7 5 Income before taxes 18 5 Income tax 2.5 Net income 2.5 Prepare horizontal analysis and comment on the changes between Year 2019 and 2018 2) (000's omitted) 2019 2018 Current asset 29 21 PPE (net) 137 147 Total assets 166 168 Current liability 23 22 Long term liability 95 80 Retained earnings 48 66 Total liability and equit 166 168 Prepare vertical analysis and comment on the changes between Year 2019 and 2018 3) Using the data below: 1-Mar Had 2,200 liters at $ .63 each 3-Mar Purchased 2,550 liters at $.70 each 5-Mar Sold 2,400 at $ 1.10 11-Mar Purchased 4, 100 liters at $.74 each 20-Mar Purchased 2,600 liters at $.80 each 30-Mar Sold 5,500 liters for $ 1.25 a) Prepare Fifo. Lifo average value of ending inventory - all 3 methods b) Prepare all journal entries for either Fifo or Lifo - including closing entries use either periodic or perpetual inventory 4) Provide closing entries assuming periodic or perpetual system Sales 500 Beg inv 50 Purchases 575 CGAS 625 less end inv 268 CGS 357 Gross Margin 143 Operating exp 73 Net income 70 5) The balance on selected accounts is below Income statement (00( Co A Co B Net sales 18,972 54,574