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Given the financial statements for Jones Corporation and Smith Corporation: JONES CORPORATION Current Assets Liabilities Cash $ 25,800 Accounts payable $ 188,000 Accounts receivable 88,700
Given the financial statements for Jones Corporation and Smith Corporation:
JONES CORPORATION | ||||
Current Assets | Liabilities | |||
Cash | $ 25,800 | Accounts payable | $ 188,000 | |
Accounts receivable | 88,700 | Bonds payable (long term) | 80,400 | |
Inventory | 54,200 | |||
Long-Term Assets | Stockholders' Equity | |||
Gross fixed assets | $ 578,000 | Common stock | $ 150,000 | |
Less: Accumulated depreciation | 153,900 | Paid-in capital | 70,000 | |
Net fixed assets* | 424,100 | Retained earnings | 104,400 | |
Total assets | $ 592,800 | Total liabilities and equity | $ 592,800 |
Sales (on credit) | $ 1,717,000 |
---|---|
Cost of goods sold | 782,000 |
Gross profit | $ 935,000 |
Selling and administrative expense | 283,000 |
Depreciation expense | 53,300 |
Operating profit | $ 598,700 |
Interest expense | 10,000 |
Earnings before taxes | $ 588,700 |
Tax expense | 93,200 |
Net income | $ 495,500 |
*Use net fixed assets in computing fixed asset turnover.
Includes $11,100 in lease payments.
SMITH CORPORATION | ||||
Current Assets | Liabilities | |||
Cash | $ 36,100 | Accounts payable | $ 84,700 | |
Marketable securities | 10,800 | Bonds payable (long term) | 251,000 | |
Accounts receivable | 77,300 | |||
Inventory | 75,300 | |||
Long-Term Assets | Stockholders' Equity | |||
Gross fixed assets | $ 576,000 | Common stock | $ 75,000 | |
Less: Accumulated depreciation | 256,700 | Paid-in capital | 30,000 | |
Net fixed assets* | 319,300 | Retained earnings | 78,100 | |
Total assets | $ 518,800 | Total liabilities and equity | $ 518,800 |
*Use net fixed assets in computing fixed asset turnover.
SMITH CORPORATION | |
Sales (on credit) | $ 1,540,000 |
---|---|
Cost of goods sold | 1,110,000 |
Gross profit | $ 430,000 |
Selling and administrative expense | 229,000 |
Depreciation expense | 51,700 |
Operating profit | $ 149,300 |
Interest expense | 29,500 |
Earnings before taxes | $ 119,800 |
Tax expense | 40,100 |
Net income | $ 79,700 |
Includes $11,100 in lease payments.
Compute the following ratios.
Note: Use a 360-day year. Do not round intermediate calculations. Input your profit margin, return on assets, return on equity, and debt to total assets answers as a percent rounded to 2 decimal places. Round all other answers to 2 decimal places.
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