Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Hi can you help me con this question 3 33.33 points Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit;
Hi can you help me con this question
3 33.33 points Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory. $53.900; total assets, $169,400; common stock, $83.000: and retained earnings. $50,195.) CABOT CORPORATION Balance Sheet December 31 of current year Assets Liabilities and Equity Cash $ 20,880 Accounts payable $ 18,500 Short-term investments 8,880 Accrued wages payable 3,680 Accounts receivable, net 33,680 Income taxes payable 4,200 Merchandise inventory 42,150 Long-term note payable, secured by mortgage on plant assets 72,400 Prepaid expenses 2,5ee Common stock 83,880 Plant assets, net 153,389 Retained earnings 78,650 Total assets $ 260,352 Total liabilities and equity $ 260, 350 CABOT CORPORATION Income States For Current Year Ended December 31 Sales $ 449,689 Cost of goods sold 298,45 Gross profit 151, 150 Operating expenses 98,982 Interest expense 4.600 Income before taxes 47.650 Income tax expense 19,195 Net income $ 28,455 Required: Compute the following: (1) current ratio. (2) acid-test ratio. (3) days' sales uncollected. (4) Inventory tumover. (5) days' sales In Inventory (6) debt-to-equity ratio. (7times Interest earned, (8) profit margin ratio, (9) total asset tumover. () return on total assets, and (11) return on equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Reg 6 Rey 7 Req8 Reg 9 Reg 10 Reg 11 Req 1 and 2 Reg 3 Reg 4 Reg 5 Compute the current ratio and acid-test ratio. (1) Current Ratio Denominator: Numerator. = Current Ratio Current ratio to 1 1 = (2) Acid-Test Ratio Denominator: Numerator: = = Acid-Test Ratio Acid-Test Ratio to 1 1 Req 1 and 2 Req3 >Step 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