Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Just Dew It Corporation reports the following balance sheet information for 2017 and 2018. JUST DEW IT CORPORATION 2017 and 2018 Balance Sheets Assets Liabilities

Just Dew It Corporation reports the following balance sheet information for 2017 and 2018.

JUST DEW IT CORPORATION 2017 and 2018 Balance Sheets
Assets Liabilities and Owners Equity
2017 2018 2017 2018
Current assets Current liabilities
Cash $ 11,250 $ 19,440 Accounts payable $ 30,600 $ 49,200
Accounts receivable 11,850 16,080 Notes payable 24,900 31,200
Inventory 39,150 60,240
Total $ 62,250 $ 95,760 Total $ 55,500 $ 80,400
Long-term debt $ 27,000 $ 24,000
Owners equity
Common stock and paid-in surplus $ 48,000 $ 48,000
Retained earnings 169,500 327,600
Net plant and equipment $ 237,750 $ 384,240 Total $ 217,500 $ 375,600
Total assets $ 300,000 $ 480,000 Total liabilities and owners equity $ 300,000 $ 480,000

For each account on this companys balance sheet, show the change in the account during 2018 and note whether this change was a source or use of cash. (If there is no action select "None" from the dropdown options. Leave no cells blank - be certain to enter "0" wherever required. A negative answer should be indicated by a minus sign

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
please solve all questions
Based on the balance sheets given for Just Dew it: a. Calculate the current ratio for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. Calculate the quick ratio for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) c. Calculate the cash ratio for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) d. Calculate the NWC to total assets ratio for each year. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) e. Calculate the debt-equity ratio and equity multiplier for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) f. Calculate the total debt ratio and long-term debt ratio for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) mor is not comnlete. Assets 2017 2018 Current assets Cash Accounts receivable Inventory Total $ 4,000 14,880 61,920 Liabilities and Owners' Equity 2018 2017 Current liabilities $ 11,280 Accounts payable $ 39,040 20,400 Notes payable 12,960 90,480 $ 48,720 17,280 $ 80,800 $ 122,160 Total $ 52,000 $ 66,000 Long-term debt $ 48,000 $36.000 Owners' equity Common stock and paid-in surplus Retained earnings $ 60,000 160,000 $ 60,000 318.000 Net plant and equipment $239,200 $ 357,840 Total $220,000 $378,000 Total assets $320,000 $480,000 Total liabilities and owners' equity $320,000 $480,000 e. Calculate the debt-equity ratio anu equity TUILI intermediate calculations and round your answers to 2 decimal places, e. f. Calculate the total debt ratio and long-term debt ratio for each year. (Do not intermediate calculations and round your answers to 2 decimal places, e. & Answer is not complete. 2018 times a. Current ratio Quick ratio b. times 2.82 X times C Cash ratio 2017 1.00 X times 0.64 x times 2.82 X times 6.81 X % 0.32 X times 1.32 X times 0.25 X times % d. times e. times NWC ratio Debt-equity ratio Equity multiplier Total debt ratio Long-term debt ratio times f. 0.11 X times times sed on the balance sheets given for Just Dew It: Calculate the current ratio for each year. (Do not round intermediate calculat and round your answers to 2 decimal places, e.g., 32.16.) Calculate the quick ratio for each year. (Do not round intermediate calculations round your answers to 2 decimal places, e.g., 32.16.) Calculate the cash ratio for each year. (Do not round intermediate calculations round your answers to 2 decimal places, e.g., 32.16.) Calculate the NWC to total assets ratio for each year. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e. 32.16.) Calculate the debt-equity ratio and equity multiplier for each year. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 3- Calculate the total debt ratio and long-term debt ratio for each year. (Do not rou intermediate calculations and round your answers to 2 decimal places, e.g., 3

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

More Books

Students also viewed these Finance questions

Question

assess the use of financial and non-financial performance measures

Answered: 1 week ago