Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Could you please solve some questions please ? Thank you very much 11) On December 31, a company's records show the following information: Cash Accounts
Could you please solve some questions please ?
Thank you very much
11) On December 31, a company's records show the following information: Cash Accounts Receivable Inventory Prepaid Insurance Long-term Assets Accounts Payable Notes Payable due in 10 months Wages Payable Long-term Liabilities Stockholders' (Owner's) Equity $ 10,000 30,000 80,000 6,000 200,000 30,000 25,000 5,000 70,000 196,000 a) The company's working capital is? b) The company's current ratio is? c) The company's quick ratio is? (5 marks) 12) For its most recent year a company had Sales (all on credit) of $830,000 and Cost of Goods Sold of $525,000. At the beginning of the year its Accounts Receivable were $80,000 and its Inventory was $100,000. At the end of the year its Accounts Receivable were $86,000 and its Inventory was $110,000. a) The inventory turnover ratio for the year was? b) The accounts receivable turnover ratio for the year was? c) On average how many days of sales were in Accounts Receivable during the year? d) On average how many days of sales were in Inventory during the year? (10 marks) 13) A company's net income after tax was $400,000 for its most recent year. The company's income statement included Income Tax Expense of $140,000 and Interest Expense of $60,000. At the beginning of the year the company's stockholders' equity was $1,900,000 and at the end of the year it was $2,100,000. a) What is the times interest earned for the company? b) What is the after-tax return on stockholder's equity for the yearStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started