Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help me on the following finance problem, help me fill out this balance sheet and income statement. all informaion has been given please let

please help me on the following finance problem, help me fill out this balance sheet and income statement. all informaion has been given please let me know if you have any questions.
image text in transcribed
image text in transcribed
image text in transcribed
6. The table below is AND Company's balance sheet and income statement for 2020. Please answer the following questions according to the tables. (10 points) AND Company Balance Sheet December 31, 2020 ASSETS Current assets $ 3,200 Cash Petty cash $ 6,500 45,700 250 Temporary investments 15,000 9,800 Accounts receivable - net 30,000 3,200 Inventory 45,000 7,000 Supplies 4,500 1,600 Prepaid insurance 2,000 1,100 99,950 45,000 7,500 23,750 9,000 460,000 250,000 483,750 300,000 (67,000) Total liabilities 499,500 STOCKHOLDERS' EQUITY Common stock 120,000 Retained earnings 330,000 100,000 Less: Treasury stock (60,000) 390,000 200,000 Total stockholders' equity 300,000 4,200 Total current assets Investment Property, plant & equipment Land Land improvements Buildings Equipment Less: accum depreciation Prop, plant & equip - net Intangible assets Goodwill Trade names Total intangible assets Other assets Total assets LIABILITIES Current liabilities Notes payable Accounts payable Wages payable Interest payable Taxes payable Warranty liability Unearned revenues Total current liabilities Long-term liabilities Notes payable Bonds payable Total long-term liabilities Total liabilities & stockholders' equity AND Company Income Statement For the year ended December 31, 2020 Sales (all on credit) Cost of goods sold Gross Profit Operating expenses Selling expenses Administrative expenses Total operating expenses Operating income Interest expenses Income before taxes Income tax expenses Net income after taxes $ 650,000 480,000 28,000 55,000 83,000 15,000 22,320 6.1. Fill in the blanks in the AND company's balance sheet and income statement above. Total current liabilities = Total liabilities = Total assets = Total liabilities + stockholders' equity = Gross profit= Operating income = Income before taxes = Net income after taxes = Calculate two leverage ratios: 6.2. Debt ratio= 6.3. Debt-to-equity ratio = Calculate profitability ratios: 6.4. Gross margin = 6.5. Profit Margin after-tax = 6.6. Return on assets (ROA) = 6.7. Return on equity (ROE) = 6.8. Explain the meaning of ROA & ROE

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Economics Business And Islamic Finance In ASEAN Economics Community

Authors: Patricia OrdoƱez De Pablos Mohammad Nabil Almunawar , Muhamad Abduh

1st Edition

1799822575,1799822605

More Books

Students also viewed these Finance questions