Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please calculate the following ratios for the most recent year reported. Please show calculations. Current ratio,Acid test ratio, days sales uncollected, Days to cash, days
Please calculate the following ratios for the most recent year reported. Please show calculations. Current ratio,Acid test ratio, days sales uncollected, Days to cash, days sales in inventory, total asset turnover, profit margin ratio,return on total assets.
Panic Corporation Comparative Balance Sheets December 31, 2018 and 2017 2018 2017 Assets Cash Accounts Receivable Merchandise Inventory Equipment Accumulated Depreciation Equipment Total Assets $164,000 82,000 605,000 350,000 (157,000) $ 1,044,000 $ 131,000 70,000 515,000 276,000 (102,000) $ 890,000 Liabilities and Equity Accounts Payable Income Taxes Payable Common Stock, $2 par value Paid-in capital in excess of par, Common Stock Retained Earnings Total Liabilities and Equity $ 173,000 20,000 580,000 194,000 78.000 $ 1,044,000 $ 119,000 17,000 560,000 163,000 31,000 $ 890,000 Panic Corporation Income Statement For the Year Ended December 31, 2018 $ 1,792,000 (1,087,000) $ 705,000 Sales Cost of Goods Sold Gross Profit Operating Expenses Depreciation Expense Other Expenses Income Before Taxes Income Tax Expense Net Income $( 55,000) (494,000 ( 549.000 $ 156,000 ( 24.000) $ 132,000 Additional information: a. Purchased equipment for $74,000. b. Issued 10,000 shares of common stock for $5 cash per share. c. Declared and paid $85,000 in cash dividendsStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started