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Please help with the below questions Cullumber Medical manufactures hospital beds and other institutional furniture. The company's comparative balance sheet and income statement for 2019
Please help with the below questions
Cullumber Medical manufactures hospital beds and other institutional furniture. The company's comparative balance sheet and income statement for 2019 and 2020 follow Cullumber Medical Comparative Balance Sheet As of December 31 2020 2019 Assets Current assets Cash $390.000 $417.450 Accounts receivable, net 1.038,000 776,450 Inventory 746,000 681.100 Other current assets 381.350 247,050 Total current assets 2,555,350 2,122,050 Property, plant, & equipment, net Total assets 8,702,200 8,439,880 $11,257,550 $10,561,930 Liabilities and Stockholders' Equity Current liabilities $3.196,000 $2,846,100 Long-term debt 3.702,700 3,892,600 Total liabilities 6,898,700 6.738,700 Preferred stock, $5 par value 58.900 58,900 Common stock, $0.25 par value 104.700 103,800 Retained earnings 4,195,250 3,660,530 4,358,850 3,823,230 Total stockholders' equity $11.257.550 $10,561.930 Total liabilities and stockholders equity Cullumber Medical Comparative Income Statement and Statement of Retained Earnings For the Year 2020 2019 $10,177,200 $9.613,950 5,611.600 5,298,700 Sales revenue (all on account) Cost of goods sold Gross profit Operating expenses 4.565,600 4,315.250 2,840.200 2,634.200 Net operating income 1.725,400 1,681,050 Interest expense 300,300 308,650 Net income before taxes 1.425.100 1,372,400 427.530 411,720 Income taxes (30%) 5997,570 $960,680 Net income Net income $997,570 $960,680 Dividends paid Preferred dividends 29,450 29.550 Common dividends 433,400 413,000 Total dividends paid 462,850 442,550 534.720 518,130 Net income retained 3,660.530 3,142.400 Retained earnings, beginning of year $4.195.250 $3,660.530 Retained earnings, end of year (a-d) Calculate the following liquidity ratios for 2020. (If working capital is negative then enter with a negative sign preceding the number or parentheses, eg. -15,000 or (15,000). Round all answers except working capital to 2 decimal places, es. 2.55.) $ a. Working capital b. Current ratio c Acid-test ratio times d. Accounts receivable turnover (e-f) Calculate the following liquidity ratios for 2020. (Round average collection period to decimal places, 25 and Inventory turnover ratio to 2 decimal places, eg. 5.12. Use 365 days for calculation) days a. Average collection period times b. Inventory turnover Calculate average days to sell inventory for 2020. (Round answer to decimal places, es. 25. Use 365 days for calculatin) days Average days to sell inventory Step by Step Solution
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