Question
IVANHOE COMPANY Balance Sheets December 31 (in thousands) 2022 2021 Current assets Cash and cash equivalents $330 $360 Accounts receivable (net) 580 510 Inventory 550
IVANHOE COMPANY Balance Sheets December 31 (in thousands) | ||||
---|---|---|---|---|
2022 | 2021 | |||
Current assets | ||||
Cash and cash equivalents | $330 | $360 | ||
Accounts receivable (net) | 580 | 510 | ||
Inventory | 550 | 480 | ||
Prepaid expenses | 130 | 160 | ||
Total current assets | 1,590 | 1,510 | ||
Property, plant, and equipment (net) | 410 | 380 | ||
Investments | 120 | 120 | ||
Intangibles and other assets | 530 | 510 | ||
Total assets | $2,650 | $2,520 | ||
Current liabilities | $930 | $900 | ||
Long-term liabilities | 570 | 470 | ||
Stockholders equitycommon | 1,150 | 1,150 | ||
Total liabilities and stockholders equity | $2,650 | $2,520 |
IVANHOE COMPANY Income Statements For the Year Ended December 31 (in thousands) | ||||
---|---|---|---|---|
2022 | 2021 | |||
Sales revenue | $3,890 | $3,550 | ||
Costs and expenses | ||||
Cost of goods sold | 1,080 | 1,000 | ||
Selling & administrative expenses | 2,400 | 2,330 | ||
Interest expense | 10 | 20 | ||
Total costs and expenses | 3,490 | 3,350 | ||
Income before income taxes | 400 | 200 | ||
Income tax expense | 160 | 80 | ||
Net income | $ 240 | $ 120 |
Compute the following ratios for 2022 and 2021. (Round current ratio and inventory turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 12.6%.)
(a) | Current ratio. | |
(b) | Inventory turnover. (Inventory on December 31, 2020, was $410.) | |
(c) | Profit margin. | |
(d) | Return on assets. (Assets on December 31, 2020, were $2,720.) | |
(e) | Return on common stockholders equity. (Equity on December 31, 2020, was $970.) | |
(f) | Debt to assets ratio. | |
(g) | Times interest earned. |
2022 | 2021 | |||||
---|---|---|---|---|---|---|
Current ratio. | enter the ratio rounded to 2 decimal places | :1 | enter the ratio rounded to 2 decimal places | :1 | ||
Inventory turnover. | enter inventory turnover rounded to 2 decimal places | enter inventory turnover rounded to 2 decimal places | ||||
Profit margin. | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
Return on assets. | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
Return on common stockholders equity. | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
Debt to assets ratio. | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
Times interest earned. | enter times interest earned rounded to 1 decimal place | times | enter times interest earned rounded to 1 decimal place | times |
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