Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need some assistance please Module 8 - Homework Marshall Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2

I need some assistance please

image text in transcribedimage text in transcribed
Module 8 - Homework Marshall Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Retained earnings, January 1.. . . . .. .. $3,704,000 $3,264,000 Net income . .. 600,000 550,000 Total ... $4,304,000 $3,814,000 Dividends: On preferred stock 10,000 $ 10,000 On common stock. . 100,000 100,000 Total dividends . . . . . $ 110,000 $ 110,000 Retained earnings, December 31 ... . . . . . . $4,194,000 $3,704,000 Marchall Inc Marshall Inc. Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Sales ........... $10,850,000 $10,000,000 Cost of goods sold. 6,000,000 5,450,000 Gross profit . ... $ 4,850,000 $ 4,550,000 Selling expenses . $ 2,170,000 $ 2,000,000 Administrative expenses. 1,627,500 1,500,000 Total operating expenses $ 3,797,500 $ 3,500,000 Income from operations . $ 1,052,500 $ 1,050,000 Other revenue ....... 99,500 20,000 1,152,000 $ 1,070,000 Other expense (interest) . .... 132,000 120,000 Income before income tax ... $ 1,020,000 S 950,000 Income tax expense . . 420,000 400,000 Net income . . .... ... . 600,000 $ 550,000Marshall Inc. Comparative Balance Sheet December 31, 20Y2 and 20Y1 Assets 20Y2 20Y1 Current assets: Cash . Marketable securities. $1,050,000 $ 950,000 Accounts receivable (net) . 301,000 420,000 Inventories ... 585,000 500,000 Prepaid expenses . 420,000 380,000 Total current assets. 108,000 20,000 Long-term investments . . $ 2,464,000 $2,270,000 Property, plant, and equipment (net) 800,000 800,000 Total assets . ........ 5,760,000 5,184,000 Liabilities $ 9,024,000 $8,254,000 Current liabilities . ..... Long-term liabilities: $ 880,000 $ 800,000 Mortgage note payable, 6% ............ Bonds payable, 4% . ... $ 200,000 S Total long-term liabilities .. 3,000,000 3,000,000 Total liabilities .. $ 3,200,000 $3,000,000 $ 4,080,000 $3,800,000 Stockholders' Equity . . . . . . Preferred 4% stock, $5 par . .. $ 250,000 Common stock, $5 par ...... $ 250,000 500,000 Retained earnings . 500,000 Total stockholders' equity . ..... 4, 194,000 3,704,000 $ 4,944,000 Total liabilities and stockholders' equity .... $4,454,000 $ 9,024,000 $8,254,000 Instructions Determine the following measures for 20Y2, rounding to one decimal place, including per-centages, except for per-share amounts: 1. Working capital 2. Current ratio 3. Quick ratio 4. Accounts receivable turnover 5. Number of days' sales in receivables 6. Inventory turnover 7 . Number of clays' sales in inventory 8. Ratio of fixed assets to long-tern, liabilities 9 . Ratio of liabilities to stockholders' equity 10. Times interest earned 11. Asset turnover 12. Return on total assets 13. Return on stockholders' equity 14. Return on common stockholders' equity 15. Earnings per share on common stock 16. Price-earnings ratio 17. Dividends per share of common stock 18. Dividend yield

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

Foundations Of Finance

Authors: Arthur Keown, John Martin, J. Petty

10th Edition

0136102654, 9780136102656

More Books

Students also viewed these Accounting questions