Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In the right-hand column below, certain financial ratios are listed. To the left of each ratio is a business transaction or event relating to the

image text in transcribed
In the right-hand column below, certain financial ratios are listed. To the left of each ratio is a business transaction or event relating to the operating activities of Linsay & Linsay Company. 1. Inventory was sold for cash at a profit. Debt-to-equity ratio 2. Land was purchased for cash. Earnings per share 3. Inventory was sold on account at cost. Acid-test ratio 4. Some accounts payable were paid off. Working capital 5. A customer paid an overdue bill. Average collection period 6. A cash dividend was declared, but not yet paid. Current ratio 7. A previously declared cash dividend was paid. Current ratio 8. The company's common share price has increased to $50 from Book value per share $45. 9. Dividends per share have remained the same but the market Dividend yield ratio price per share has increased to $50 from $45. 10. Property was sold for a profit. Return on total assets 11. Obsolete inventory was written off as a loss. Inventory turnover ratio 12. Bonds were sold with an interest rate less than the company's Return on common return shareholders' equity 13. The market price per share of the company's common share Dividend payout ratio has decreased from $22 to $20. 14. The company's net income has decreased since last year but Times interest earned long-term debt remained unchanged. 15. An uncollectable account was written off against the Current ratio Allowance for Bad Debts. 16. Inventory was purchased on credit. Acid-test ratio In the right-hand column below, certain financial ratios are listed. To the left of each ratio is a business transaction or event relating to the operating activities of Linsay & Linsay Company. 1. Inventory was sold for cash at a profit. Debt-to-equity ratio 2. Land was purchased for cash. Earnings per share 3. Inventory was sold on account at cost. Acid-test ratio 4. Some accounts payable were paid off. Working capital 5. A customer paid an overdue bill. Average collection period 6. A cash dividend was declared, but not yet paid. Current ratio 7. A previously declared cash dividend was paid. Current ratio 8. The company's common share price has increased to $50 from Book value per share $45. 9. Dividends per share have remained the same but the market Dividend yield ratio price per share has increased to $50 from $45. 10. Property was sold for a profit. Return on total assets 11. Obsolete inventory was written off as a loss. Inventory turnover ratio 12. Bonds were sold with an interest rate less than the company's Return on common return shareholders' equity 13. The market price per share of the company's common share Dividend payout ratio has decreased from $22 to $20. 14. The company's net income has decreased since last year but Times interest earned long-term debt remained unchanged. 15. An uncollectable account was written off against the Current ratio Allowance for Bad Debts. 16. Inventory was purchased on credit. Acid-test ratio

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

Advanced Financial Accounting

Authors: Theodore E. Christensen, David M. Cottrell, Richard E. Baker

10th edition

78025621, 978-0078025624

More Books

Students also viewed these Accounting questions

Question

Evaluate continuous monitoring techniques and alarms.

Answered: 1 week ago