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Net sales VIRTUAL GAMING SYSTEMS Income Statements For the Years Ended December 31 Cost of goods sold Gross profit Expenses: Operating expenses. Depreciation expense.
Net sales VIRTUAL GAMING SYSTEMS Income Statements For the Years Ended December 31 Cost of goods sold Gross profit Expenses: Operating expenses. Depreciation expense. Loss on sale of land Interest expense Income tax expense Total expenses Net income 2024 2025 $3,485,000 $3,011,000 2,475,000 1,945,000 1,010,000. 1,066,000 950,000 853,000 25,000 24,500 15,500 12,500 7,500 45,500 998,000 943,000 12,000 123,000 7,500 VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2025 2024 2023 Assets Current assets: Cash Accounts receivable. Inventory Prepaid rent Long-term assets: Investment in bonds Land Equipment $198,500 $181,000 $139,000 72,500 76,000 55,000 122,500 100,000 130,000 13,500 11,500 5,400 100,000 100,000 0 295,000 205,000 235,000 295,000 265,000 205,000 Less: Accumulated depreciation (86,500) (61,500) (37,000) Total assets) $1,010,500 $877,000 $732,400 Liabilities and Stockholders' Equity Current Liabilities: Accounts payable $234,000 $61,000 $100,900 Interest payable 7,500 Income tax payable: 11,500 5,000 12,500 2,500 13,500 Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earninne 350,000 280,000 220,000 295,000 295,000 295,000 112.500 223.500 100.500 Luig-Leis a Investment in bonds Land Equipment 100,000 100,000 295,000 205,000 235,000 295,000 265,000 285,000 Less: Accumulated depreciation (86,500) (61,500) (37,000) Total assets $1,010,500 $877,000 $732,400 Liabilities and Stockholders' Equity Current Liabilities: Accounts payable $234,000 $61,000 $100,900 Interest payable 7,500 5,eee 2,500 Income tax payable 11,500 12,500 13,500 Long-term liabilities: Notes payable Stockholders' equity: 350,000 280,000 220,000 Common stock 295,000 295,000 295,000, Retained earnings 112,500 223,500 100, sea Total liabilities and stockholders' equity $1,010,500 $877,000 $732,400 Required: 1. Assuming that all sales were on account, calculate the following risk ratios for 2024 and 2025: (Round your answers to 1 decimal place.) Receivables turnover ratio Inventory turnover ratio Current ratio Debt to equity ratio 2024 2025 times times Smes times %
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