Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I only need 8-18 Measures of liquidity, Solvency and Profitability The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall
I only need 8-18
Measures of liquidity, Solvency and Profitability The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall Inc. common stock was $ 65 on December 31, 2012. Marshall Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 2012 and 2041 2012 20Y1 Retained earnings, January 1 $ 2,535,600 $2,137,100 Net income 608,000 437,700 Total $ 3,143,600 $ 2,574,800 Dividends $ 7,700 $ 7,700 31,500 31,500 On preferred stock On common stock Total dividends Retained earnings, December 31 $ 39,200 $ 39,200 $2,535,600 $ 3,104,400 Marshall Inc. Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 $ 3,191,925 1,165,080 Sales Cost of goods sold Gross profit Selling expenses $ 2,026,845 $ 633,360 539,535 $ 2,940,930 1,071,870 $ 1,869,060 $ 815,430 478,910 1,294,340 $ 574,720 36,680 Administrative expenses Total operating expenses 1,172,895 Income from operations $ 853,950 Other income 44,950 $ 611,400 $ 898,900 208,000 114,400 Other expense (interest) $ 690,900 $ 497,000 Income before income tax Income tax expense 82,900 59,300 $ 608,000 $ 437,700 Net income Marshall Inc. Comparative Balance Sheet December 31, 2012 and 20Y1 Dec. 31, 20Y2 Dec. 31, 20Y1 Assets Current assets Cash Marketable securities $ 577,330 873,800 620,500 467,200 109,234 $ 615,510 1,019,980 584,000 Accounts receivable (net) Inventories 365,000 Prepaid expenses 123,100 Total current assets $ 2,707,590 Long-term investments $ 2,648,064 1,943,856 3,120,000 1,088,279 Property, plant, and equipment (net) 2,808,000 $ 6,603,869 Total assets $ 7,711,920 Liabilities $ 827,520 $ 1,458,269 Current liabilities Long-term liabilities Mortgage note payable, 8 % Bonds payable, 8 % Total long-term liabilities $ 1,170,000 1,430,000 $ 2,600,000 $ 3,427,520 1,430,000 $ 1,430,000 $ 2,888,269 Total liabilities Required: Determine the following measures for 2012, rounding to one decimal place, except for dollar amounts, which should be rounded to the nearest cent. Use the rounded answer of the requirement for subsequent requirement, if required. Assume 365 days a year. 1. Working capital 1,820,544 2. Current ratio 3. Quick ratio 4. Accounts receivable turnover 5. Number of days' sales in receivables 68.9 days 6. Inventory turnover 2.8 130.3 days 7. Number of days' sales in inventory 8. Ratio of foed assets to long-term 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-earings ratio 17. Dividends per share of common stock 18. Dividend yield 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