Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Following is the balance sheet of Gibson Company for 2018: GIBSON COMPANY Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated

image text in transcribed

Following is the balance sheet of Gibson Company for 2018: GIBSON COMPANY Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated depreciation Total assets s 14,500 8,060 13,040 10,850 171,000 (13,000) $204,450 Liabilities and Stockholders' Equity Accounts payable Current notes payable Mortgage payable Bonds payable Common stock Retained earnings $ 8,900 3,400 4,050 21,300 113,100 53,700 $204,450 Total liabilities and stockholders' equity The average number of common stock shares outstanding during 2018 was 860 shares. Net income for the year was $15,800 Required Compute each of the following: (Round your answers to 2 decimal places.) a. Current ratio b. Earnings per share C. Quick (acid-test) ratio d. Return on investment e. Return on equity f. Debt to equity ratio 3.78 per share 3.12 10.82 % 9.471 % 22.57 %

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

Health And Safety Environment And Quality Audits

Authors: Stephen Asbury

3rd Edition

0815375395, 978-0815375395

More Books

Students also viewed these Accounting questions