Mountainside Manors, Inc., builds environmentally sensitive structures. The company's 2020 revenues totalled $2,900 million. At December 31 , 2020 and 2019 , the company had $645 million and $579 milion in current assets, respectively. Accounts payable at the end of 2018 was $194 milion. The December 31,2020 and 2019, balance sheets and income statements reported the following amounts: (Click the icon to view the financial statements.) Requirement 1. Describe each liability of Mountainside Manors, Inc., and state how the liability arose. Choose the correct liability from the list that best fits the deseription provided. Amounts owod to suppiers for products or servioes that have been purchased on account. Expenses that the company has incurred but not yet paid, these are liabilities foc expenses such as interest and income taxsin2 Amounts owed to employees for salaries and other payroll-related expenses. Next vear's principal payment on the companv's lonq-term debt. Mountainside Manors, Inc, buids emironmentally sensitive structures. The company's 2020 revenues totalled $2,900 million. At December 31 , 2020 and 2019 , the company had $645 million and $579 milion in current assets, respectively. Accounts payable at the end of 2018 was $194 milison. The December 31,2020 and 2019, balance sheets and income statements reported the following amounts: (Click the icon to view the financial statements.) The amount of long-term notes and bonds payable due more than one year aftor the baiance sheot date. The company's liabilities for providing benefits-mainly heath care-to retirees. A catch-all group of liablities that do not fit one of the more specific categories. These are long-term, as shown by the fact that they are not listed among the current liabiities. Requirement 2. Evaluate whether the company_'s ability to pay its long-term debts improved, deteriorated, or remained about the same over the yeat. What were the corrpany's total assets at December 31, 2020? The total assets at December 31, 2020, were? milion. Evaluate the company's leverage and debt ratio at the end of 2019 and 2020 . Did the compary improve, deteriorate, or remain about the same over the year? Begin by computing the debt ratios. (Round your answers to two decimal places, X.XX. ) The debt ratio for 2020 is The debt ratio for 2019 is For the leverage ratio, first determine the formula. Then complete the formula and calculate the leverage ratios at the end of 2019 and 2020 . (Enter amounts in millions, Round your answers to two decimal places, X.XX.) Did the company improve, deteriorate, or remain about the same over the year? Both the leverago ratio and debt ratio in 2020 . The compary's ability to pay its long-term debts over the year, Requirement 3. Evaluate whether the compary-'s ability to pay its short-term debts improved, deteriorated, or remained about the same over the year. Determine the formula for the accounts payable turmover. Then complete the formula and calculate the acoounts payable tumover ratios at the end of 2019 and 2020. (Enter amounts in millions. Round your answer to two decimal places, X. XX.) Next, determine the formula for the days payable outstanding (DPO). Then complete the formula and calculate the days payable outstanding at the end of 2019 and 2020. (Enter the amounts in the formula to two decimal places, X.XX. Round your answers to the nearest whole day.) 2020. (Enter the amounts in the formula to two decimal places, X.XX. Round your answers to the nearest whole day.) Now, determine the formula for the current ratios. Then complete the formula and calculate the current ratios at the end of 2019 and 2020 . (Round your answers to two decimal places, X.XX.) Evaluate whather the company improvod or deteriorated from the standpoint of ability to cover accounts payable and current liabilitios. Tha company's abiity to pay its short-term debts over the year
