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If you have this unsorted information from the general ledger of CAM Company as follow: net plants and equipment 380000 net sales 960000 accounts payables
If you have this unsorted information from the general ledger of CAM Company as follow:
net plants and equipment
380000
net sales
960000
accounts payables
66000
Bonds
350000
Inventory
123000
retained earnings
161000
COMMON SHARES CAPITAL
150000
operating expenses
169000
accounts receivables
125000
short term investments
28000
Interests
135000
long term loans
250000
copy rights
74000
Accruals
45000
short term loans
48000
Cash
40000
long term investments
300000
Tax
25%
cost of goods sold
358000
After sorting this information as an income statements and balance sheet, find the answers of the below questions:
1- Days sales outstanding (average collection period).
2- Average payment period.
3- Average age of inventory.
4- Times interest earned.
5- Total assets turn over.
6- Debt to equity ratio.
7- Quick ratio.
8- Return on assets (ROA).
9- Return on equity (ROE).
10- If the firm decided to decrease the debt ratio to be 50%as new target, how much the total liabilities must be decreased to reach the target ratio?
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