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Markus Companys common stock sold for $2.25 per share at the end of this year. The company paid a common stock dividend of $0.45 per
Markus Companys common stock sold for $2.25 per share at the end of this year. The company paid a common stock dividend of $0.45 per share this year. It also provided the following data excerpts from this years financial statements: |
Ending Balance | Beginning Balance | |||
Cash | $ | 29,000 | $ | 44,800 |
Accounts receivable | $ | 50,000 | $ | 43,800 |
Inventory | $ | 48,100 | $ | 50,000 |
Current assets | $ | 127,100 | $ | 138,600 |
Total assets | $ | 375,000 | $ | 360,000 |
Current liabilities | $ | 51,000 | $ | 36,000 |
Total liabilities | $ | 100,000 | $ | 90,000 |
Common stock, $1 par value | $ | 108,000 | $ | 108,000 |
Total stockholders equity | $ | 275,000 | $ | 270,000 |
Total liabilities and stockholders equity | $ | 375,000 | $ | 360,000 |
This Year | ||
Sales (all on account) | $ | 550,000 |
Cost of goods sold | $ | 319,000 |
Gross margin | $ | 231,000 |
Net operating income | $ | 93,500 |
Interest expense | $ | 5,500 |
Net income | $ | 97,200 |
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11. | What is the companys operating cycle?
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