Gripped Gloves
Income Statement
For Years Ended December 31, 2020
	2020
Operating Revenue
Net Sales	168,805
Cost of Merchandise Sold	64,146
Gross Profit on Operations	104,659
Operating Expenses
Selling Expenses
Advertising Expense	4,220
Depr. ExpenseMachinery	1,429
Salary ExpenseSales	26,824
Supplies ExpenseSales	2,110
Total Selling Expenses	34,583
Administrative Expenses
Depr. ExpenseOffice Equipment	857
Depr. ExpenseComputer System	1,561
Insurance Expense	2,346
Payroll Taxes Expense	5,096
Rent Expense	9,000
Salary ExpenseAdministrative	18,200
Supplies ExpenseAdministrative	1,688
Uncollectible Accounts Expense	1,519
Utilities Expense	3,648
Total Administrative Expenses	43,915
Total Operating Expenses	78,498
Income from Operations	26,161
Other Revenue and Expenses
Interest Revenue	683
Net Addition from Other Revenue and Expenses	683
Net Income before Federal Income Tax	26,844
Federal Income Tax Expense	4,027
Net Income after Federal Income Tax	22,817
Units of Item Sold	4,823

Gripped Gloves
Balance Sheet
December 31, 2020
	2020
Assets:
Current Assets
Cash	9,643
Accounts Receivable	13,523
Merchandise Inventory	41,666
Supplies	1,982
Prepaid Insurance	2,463
Total Property, Plant, Equipment	9,692
Total Assets	78,969
Liabilities
Current Liabilities
Notes Payable	3,759
Accounts Payable	9,118
Dividends Payable	200
Income Taxes Payable	5,301
Total Current Liabilities	18,378
Long-Term Liabilities
Notes Payable	3,757
Total Liabilities	22,135
Stockholders' Equity
Common Stock, 200 shares	2,000
Retained Earnings	54,834
Total Stockholders' Equity	56,834
Total Liabilities and Stockholders' Equity	78,969

Directions: Use the comparative income statement and comparative balance sheet located on the following pages to complete the financial ratio table below. After you finish the calculations, summary your analysis of Gripped Gloves.

	Gripped Gloves 2020
Current ratio
Quick ratio
Inventory ratio
Net Profit Margin ratio
Return on equity ratio
Return on total assets ratio
Debt to total assets ratio
Debt to equity ratio

Summarize key findings from your financial statement analysis.