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P3-17 Calculating Financial Ratios (LO2) Just Dew It Corporation reports the following balance sheet information for 2017 and 2018 JUST DEW IT CORPORATION 2017 and

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P3-17 Calculating Financial Ratios (LO2) Just Dew It Corporation reports the following balance sheet information for 2017 and 2018 JUST DEW IT CORPORATION 2017 and 2018 Balance Sheets Assets Liabilities and Owners' Equity 2017 2018 2017 2018 Current assets Current liabilities $ 10,250 $ 72,250 $ 10,750 Cash $ 58,000 Accounts payable Accounts receivable 28.850 28,800 Notes payable 46,500 45,500 $ 118,750 64,600 Inventory 64.900 $ 103,500 Total $57.900 $ 103,700 Total $ 104,450 Long-term debt $ 64,300 Owners' equity Common stock and paid-in $ 80,000 $ 80,000 surplus Fixed assets Retained earnings 177,050 206,650 Net plant and $ 330,000$ $ 257,050 $ 350,000 Total $ 286,650 equipment Total liabilities and $ 433,700 Total assets $ 433.700 $ 454,450 $ 454,450 owners' equity Based on the balance sheets given for Just Dew It, calculate the following financial ratios for the year 2017 a. Current ratio 0.87 1 0.94 0.8 0.74 b. Quick ratio 0.33 0.38 0.36 0.30 0.28 c. Cash ratio h 0.09 0.11 0.10 0.07 0.06 d. NWC to total assets ratio -3.47% -3.99% -3.75% -3.19% -2.95% e. Debt-equity ratio and equity multiplier 0.69 and 1.69 0.79 and 1.94 0.75 and 1.83 0.63 and 1.55 0.59 and 1.44 Total debt ratio and long-term debt ratio 0.41 and 0.18 0.47 and 0.23 0.44 and 0.21 0.38 and 0.15 0.35 and 0.13 essment Based on the balance sheets given for Just Dew it, calculate the following financial ratos for the year 2018 .. Current ratio 1.01 1.16 1.09 0.93 0.86 b. Quick ratio 0.38 0.44 0.41 0.35 0.32 c. Cash ratio 0.10 0.13 0.12 0.09 0.07 d. NWC to total assets ratio 0.21% 0.23% 0.25% 0.19% 0.17% e. Debt-equity ratio and equity multiplier 0.59 and 1.59 0.68 and 1.83 0.64 and 1.72 0.54 and 1.46 0.5 and 1.35 f. Total debt ratio and long-term debt ratio 0.37 and 0.18 0.43 and 0.23 0.4 and 0.21 0.34 and 0.15 0.31 and 0.13

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