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Need help with 7b turnover asset here supportive calculations All calculations are correct just need to find 7b. Compute the total asset turnover ratio (round
Need help with 7b turnover asset here supportive calculations
All calculations are correct just need to find 7b. Compute the total asset turnover ratio (round to 2 decimal places. PLEASE show how you found your answer as i would like to learn. thank you in advance!
Transactions during 2017 follow: a. Borrowed $15,000 cash on a 5 -year, 8 percent note payable, dated March 1,2017. b. Purchased land for a future building site on March 15,2017 ; paid cash, $14,000. c. Earned $239,000 in revenue. Transactions dated August 30, 2017, including $52,000 on credit and the rest in cash. d. Sold 4,000 additional shares of capital stock for cash at $1 market value per share on January 1,2017. e. Incurred $120,000 in remaining expenses for 2017, invoices dated October 15,2017 , including $23,000 on credit and the rest paid in cash. f. Collected accounts receivables on November 10,2017,$37,000. g. Purchased other assets on November 15, 2017, $14,000 cash. h. Purchased supplies on account for future use on December 1,2017,$26,000. i. Paid accounts payable on December 15, 2017, \$24,000. j. Signed a three-year $32,000 service contract on December 17, 2017 to start February 1, 2018. k. Declared and paid cash dividends on December 20,2017,$24,000. Data for adjusting entries: I. Supplies counted on December 31, 2017, $17,000. m. Depreciation for the year on the equipment, $13,000. n. Interest accrued on notes payable (to be computed). o. Wages earned by employees since the December 24 payroll but not yet paid, $16,000. p. Income tax expense, $12,000, payable in 2018. 7-a. Compute the current ratio for 2017 . (Round your answer to 2 decimal places.) 7-b. Compute the total asset turnover ratio for 2017 . (Round your answer to 2 decimal places.) 7-c. Compute the net profit margin ratio for 2017. (Enter your answer as a percentage rounded to eBook: Compute and interpret the total asset turnover ratioStep by Step Solution
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