Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Just need help with the five that are marked in red as incorrect. Long-term debt ratio Times interest earned Current ratio Quick ratio Cash ratio
Just need help with the five that are marked in red as incorrect.
Long-term debt ratio Times interest earned Current ratio Quick ratio Cash ratio Inventory turnover Average collection period 0.1 10.0 1.6 1.0 0.4 4.0 73 days Use the above information from the tables to work out the following missing entries, and then calculate the company's return on equity. Note: Turnover and the average collection period are calculated using start-of-year, not average, values. (Enter your answers in millions. Round intermediate calculations and final answers to 2 decimal places.) Answer is complete but not entirely correct. $ 250.00 168.00 INCOME STATEMENT (Figures in $ millions) Net sales Cost of goods sold Selling, general, and administrative expenses Depreciation Earnings before interest and taxes (EBIT) Interest expense Income before tax Tax (35% of income before tax) Net income 26.00 36.00 $ 20.00 2.00 144.61 $ 50.61 X $ 94.00 $ Answer is complete but not entirely correct. BALANCE SHEET (Figures in $ millions) This Year Last Year Assets Cash and marketable securities $ 22.00 $ 36 Accounts receivable 33.00 50 Inventories 33.00 42 Total current assets 88.00 $ 128 Net property, plant, and equipment 182.00 41 Total assets 270.00 169 Liabilities and shareholders' equity Accounts payable $ 20.00 15 Notes payable 35.00 40 Total current liabilities $ 55.00 $ 55 Long-term debt 27.00 20 Shareholders' equity 188.00 94 Total liabilities and shareholders' equity $ 270.00 $ 169 $ $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