Please calculate the following ratios using the attached Balance Sheets and Income Statements. Show label all calculations:
Current ratio for 2018
Current ratio for 2019
A/R turnover ratio for 2019
Return on total assets for 2019
Ratio of liabilities to stockholders' equity for 2018
Ratio of liabilities to stockholders' equity for 2018
Return on stockholders' equity for 2019
ABC Company, Inc. Balance Sheet December 31, 2018 ABC Company, Inc. Balance Sheet December 31, 2019 Assets Assets $ $ Current Assets: Cash Accounts Receivable Supplies Total Current Assets 120,000 650,000 30,000 Current Assets: Cash Accounts Receivable Supplies Total Current Assets 165,000 672,000 25,000 $ 800,000 $ 862,000 Property, Plant, and Equipment: Land Building Equipment Less Accumulated Depreciation Property, Plant, and Equipment (net) 50,000 260,000 77,000 (32,000) Property, Plant, and Equipment: Land Building Equipment Less Accumulated Depreciation Property, Plant, and Equipment (net) 50,000 260,000 82,000 (46,000) 355,000 346,000 Other Assets: Deposit Receivable Total Assets Other Assets: Deposit Receivable Total Assets 3,000 1,158,000 $ $ 3,000 1,211,000 Liabilities Liabilities $ $ Current Liabilities: Accounts Payable Wages Payable Notes Payable (current portion) Total Current Liabilities 75,000 18,000 30,000 Current Liabilities: Accounts Payable Wages Payable Notes Payable (current portion) Total Current Liabilities 95,000 16,000 27,000 $ 123,000 $ 138,000 Long-Term Liabilities: Notes Payable (less current portion) Total Liabilities 270,000 393,000 Long-Term Liabilities: Notes Payable (less current portion) Total Liabilities 243,000 381,000 Stockholders' Equity Common Stock Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 85,000 680,000 Stockholders' Equity Common Stock Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 85,000 745,000 765,000 1,158,000 830,000 1,211,000 $ $ ABC Company, Inc. Income Statement For the Year Ended December 31, 2018 ABC Company, Inc. Income Statement For the Year Ended December 31, 2019 $ Sales Less Cost of Goods Sold Gross Profit $ 13,500,000 8,600,000 4,900,000 Sales Less Cost of Goods Sold Gross Profit 14,200,000 9,230,000 4,970,000 Less Operating Expenses 3,400,000 Less Operating Expenses 3,300,000 Operating Income 1,500,000 Operating Income 1,670,000 Less Interest Expense 27,000 Less Interest Expense 31,000 Net Income before Income taxes 1,473,000 Net Income before Income Taxes 1,639,000 Less Income Taxes 309,330 Less Income Taxes 344,190 Net Income after Income taxes 1,163,670 Net Income after Income taxes 1,294,810
