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Not sure how to solve this one: Chapter 3 Homework A Saved 1 Presented here are the comparative balance sheets of Hames Inc. at December
Not sure how to solve this one:
Chapter 3 Homework A Saved 1 Presented here are the comparative balance sheets of Hames Inc. at December 31, 2020 and 2019. Sales for the year ended December 31, 2020, totaled $540,000. 1 points HAMES INC. Balance Sheets December 31, 2020 and 2019 Skipped 2020 2019 eBook $ 21,000 78,000 103,000 $ 202,000 50,000 125,000 (65,000 $ 312,000 $ 21,000 72,000 99,000 $ 192,000 40,000 110,000 (60,000) $ 282,000 References Assets Cash Accounts receivable Merchandise inventory Total current assets Land Plant and equipment Less: Accumulated depreciation Total assets Liabilities Short-term debt Accounts payable Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock, no par, 100,000 shares authorized 40,000 and 25,000 shares issued, respectively Retained earnings: Beginning balance Net income for the year Dividends for the year Ending balance Total stockholders' equity Total liabilities and stockholders' equity $ 18,000 64,800 20,000 $ 102,800 22,000 $ 124,800 $ 17,000 76,000 18,000 $ 111,000 30,000 $ 141,000 $ 74,000 $ 59,000 $ 82,000 51,200 (20,000 $ 113,200 $ 187,200 $ 312,000 $ 85,000 2,000 (5,000) $ 82,000 $ 141,000 $ 282,000 Required: a. Calculate ROI for 2020. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) b. Calculate ROE for 2020. (Round your answer to 1 decimal place.) c. Calculate working capital at December 31, 2020. d. Calculate the current ratio at December 31, 2020. (Round your answer to 2 decimal places.) Chapter 3 Homework A Saved 1 1 points Skipped Required: a. Calculate ROI for 2020. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) b. Calculate ROE for 2020. (Round your answer to 1 decimal place.) c. Calculate working capital at December 31, 2020. d. Calculate the current ratio at December 31, 2020. (Round your answer to 2 decimal places.) e. Calculate the acid-test ratio at December 31, 2020. (Round your answer to 2 decimal places.) f. Assume that on December 31, 2020, the treasurer of Hames decided to pay $15,000 of accounts payable. What impact, if any, this payment will have on the answers you calculated for parts a-d (increase, decrease, or no effect). g. Assume that instead of paying $15,000 of accounts payable on December 31, 2020. Hames collected $15,000 of accounts receivable. What impact, if any, this receipt will have on the answers you calculated for parts a-d (increase, decrease, or no effect). eBook References a. b. c d. e f. ROI ROE Working capital Current ratio Acid test ratio ROI ROE Working capital Current ratio ROI ROE Working capital Current ratio gStep by Step Solution
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