Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

CRANE INC. Income Statement Year Ended December 31, 2021 Service revenue $2,186,500 Expenses CRANE INC. Statement of Financial Position December 31, 2021 Assets Current assets

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

CRANE INC. Income Statement Year Ended December 31, 2021 Service revenue $2,186,500 Expenses CRANE INC. Statement of Financial Position December 31, 2021 Assets Current assets Cash $60,100 Trading investments 56,000 Accounts receivable 267,800 Supplies Property, plant, and equipment Total assets Liabilities and Shareholders' Equity 1. Income available to common shareholders was $176,000. 2. The weighted average number of common shares was 40,000. 3. The share price at December 31 was $35.00. Calculate the following values and ratios for 2021. We provide the results for 2020 for comparative purposes. (Round current ratio, debt to total assets, and price-earnings ratio to 1 decimal place, e.g., 5.2, 5.2\%. Round basic earnings per share to 2 decimal places, e.g. 5.20.) 1. Working capital (2020:$260,500) 2. Current ratio (2020: 1.6:1.0) 3. Debt to total assets (2020:31.5%) 4. Basic earnings per share (2020:$3.15) 5. Price-earnings ratio (2020: 7.5 times) 1. Working capital $ 2. Current ratio :1 3. Debt to total assets % 4. Basic earnings per share $ 5. Price-earnings ratio times Question Part Score /7.5 Using the information from above part, analyze the changes in liquidity, solvency, and profitability between 2021 and 2020. Liquidity Solvency Profitability

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Public Sector Accounting And Finance

Authors: Prof Stephen Sunday Sharang Ph.D.

1st Edition

979-8639273353

More Books

Students also viewed these Accounting questions

Question

10. The graphics card was installed incorrectly on your computer.

Answered: 1 week ago