Answered step by step
Verified Expert Solution
Question
1 Approved Answer
exercise 13-7 liquidity analysis lo p3 Exercise 13-7 Liquidity analysis LO P3 Simon Company's year-end balance sheets follow. ints 2017 2016 2015 eBook At December
exercise 13-7 liquidity analysis lo p3
Exercise 13-7 Liquidity analysis LO P3 Simon Company's year-end balance sheets follow. ints 2017 2016 2015 eBook At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 28, 225 $ 32,993 $ 32, 366 80,186 58,88144,035 100,818 77,051 46,897 8.730 8.489 3 ,706 255,699 230,912 206,596 $ 473,658 $ 408,326 $ 333,600 Hint $ 119, 120 $ 69,697 $ 43,595 Print 88,157 162.500 103,881 $ 473,658 95,793 73,726 162,500 162,500 80,336 53,779 $ 408,326 $ 333, 600 references 1. Compute the current ratio for the year ended 2017, 2016, and 2015. 2. Compute the acid-test ratio for the year ended 2017, 2016, and 2015. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the current ratio for the years ended December 31, 2017, 2016, and 2015. m JUU 100,818 77,051 46,897 8,730 8,489 3,706 255,699 230,912 206,596 $ 473,658 $ 408,326 $ 333, 600 Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 119, 120 $ 69,697 $ 43,595 a 88,157 95,793 73, 726 162,500 162,500 162,500 103,881 80,336 53,779 $ 473,658 $ 408,326 $ 333, 600 Book 1. Compute the current ratio for the year ended 2017, 2016, and 2015. 2. Compute the acid-test ratio for the year ended 2017, 2016, and 2015. Hint Complete this question by entering your answers in the tabs below. ei olol Print Required 1 Required 2 rences Compute the current ratio for the years ended December 31, 2017, 2016, and 2015. Current Ratio Choose Denominator: Current liabilities Choose Numerator: Current assets 2017: $ 108,411 / 2016: S 91,874 2015: $ 79,263 Current Ratio Current ratio O to 1 0 to 1 0 to 1 Required 2 > 3,730 8,489 255,699 230,912 $ 473,658 $ 408.326 1.706 206,596 $ 333,600 $ 119, 120 69,697 $ 43,595 Prepaid expenses Plant anseta, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity 88,157 95,793 162,500 162,500 103,881 80,336 $ 473,658 $ 408,326 73,726 162.500 53,779 3.600 1. Compute the current ratio for the year ended 2017, 2016, and 2015. 2. Compute the acid-test ratio for the year ended 2017, 2016 and 2015. Complete this question by entering your answers in the tabs below. Required 1 Required 2 ances Compute the acid-test ratio for the years ended December 31, 2017, 2016, and 2015. Acid-Test Ratio Acid-Test Choose Numerator: Choose Denominator Current assets Current abiles - current assets Current liabilities Acid-test ratio 0 tot 2017: 2016: 2015: - 0 to 1 ( Required 1Step 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