Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Following are totals from selected financial statements of Magdalene Corporation for the years ended December 31, 2016 and 2017: 12/31/16 12/31/17 Cash flows provided by

Following are totals from selected financial statements of Magdalene Corporation for the years ended December 31, 2016 and 2017:

12/31/16 12/31/17
Cash flows provided by operating activities $102,000 $82,000
Cash flows provided by investing activities 16,000 33,000
Cash flows used by financing activities (40,000) (25,000)
Net increase in cash $ 78,000 $ 90,000
Net income $ 60,000 $ 24,000
Current assets 126,000 144,000
Total assets 560,000 650,000
Current liabilities 92,000 116,000
Total liabilities 344,000 410,000

Required:

1. Calculate the operating cash flow ratio for the year ended December 31, 2017. If required, round your answer to two decimal places.

Operating cash flow ratio =

2. Calculate the operating cash flow to total liabilities ratio for the year ended December 31, 2017. If required, round your answer to two decimal places.

Operating cash flow to total liabilities ratio =

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

Students also viewed these Accounting questions