Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Do It! Review 10-04 Blossom Company provides you with the following balance sheet information as of December 31, 2022. Current assets $14,260 Long-term assets 32,860
Do It! Review 10-04 Blossom Company provides you with the following balance sheet information as of December 31, 2022. Current assets $14,260 Long-term assets 32,860 Total assets Current liabilities $14,880 Long-term liabilities 17,360 $47,120 Stockholders' equity 14,880 Total liabilities and stockholders' equity $47,120 In addition, Blossom reported net income for 2022 of $19,840, income tax expense of $3,968, and interest expense of $1,612. Compute the current ratio and working capital for Blossom for 2022. (Round current ratio to 2 decimal places, e.g. 2.75. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Current ratio Working capital $ LINK TO TEXT :1 Assume that at the end of 2022, Blossom used $3,720 cash to pay off $3,720 of accounts payable. Compute the new ratios. (Round current ratio to 2 decimal places, e.g. 2.75. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Current ratio Working capital $ :1 LINK TO TEXT Compute the debt to assets ratio and the times interest earned for Blossom for 2022. (Round answers to 2 decimal places, e.g. 2.75. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Step 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