Presented here are the comparative balance sheets of Hames Inc. at December 31, 2020 and 2019. Sales for the year ended December 31, 2020, totaled $680,000 HAMES INC Balance Sheets December 31, 2020 and 2019 2020 2019 $ 23, eee 78, eee 103,000 $204, eee 50,000 125, eee (65,000) $314, eee $ 21,000 72, eee 99,000 $192,000 40,00 110,000 (60, eee) $282,000 Assets Cash Accounts receivable Merchandise inventory Total current assets Land Plant and equipment Less: Accumulated depreciation Total assets Liabilities Short-term debt Accounts payable Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock, no par, 180,000 shares authorized 40,000 and 25,000 shares issued, respectively Retained earnings: Beginning balance $ 18, eee 65,6ee 2e, eee $103,60e 22,00 $125,600 $ 17,00 76, eee 18, eee $111, ese 30, eee $141,000 $ 74,000 $ 59, eee $ 82, eee $ 85,00 Prev 3 of 12 Next > to search wy 50,000 125,000 (65,000) $314,000 40, eee 110,000 (60,000) $282,000 Land Plant and equipment Less: Accumulated depreciation Total assets Liabilities Short-term debt Accounts payable Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock, no par, 100,000 shares authorized 40,000 and 25,800 shares issued, respectively Retained earnings: Beginning balance Net income for the year Dividends for the year Ending balance Total stockholders' equity Total liabilities and stockholders' equity $ 18,000 65,600 20,000 $103,600 22,000 $125,600 $ 17,000 76, eee 18,000 $111, eee 30,000 $141, e8e $ 74,000 $ 59,00 $ 82,000 52,400 (20,000) $114,400 $188.400 $314, eee $ 85,000 2,eee (5,000) $ 82, eee $141,800 $282, 280 Required: 6. Calculate ROI for 2020. (Do not round intermediate calculations. Round your final answer to 2 decimal places b. Calculate ROE for 2020. (Round your answer to 1 decimal place.) c. Calculate working capital at December 31, 2020. d. Calculate the current ratio at December 31, 2020. (Round your answer to 2 decimal places.) e. Calculate the acid-test ratio at December 31, 2020. (Round your answer to 2 decimal places.) f. Assume that on December 31, 2020, the treasurer of Hames decided to pay $15.000 of accounts payable What in to search Required: a. Calculate ROI for 2020. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) b. Calculate ROE for 2020. (Round your answer to 1 decimal place.) c. Calculate working capital at December 31, 2020. d. Calculate the current ratio at December 31, 2020. (Round your answer to 2 decimal places.) acid-test ratio at December 31, 2020. (Round your answer to 2 decimal places.) f. Assume that on December 31, 2020, the treasurer of Hames decided to pay $15,000 of accounts payable. What impact, if any, this payment will have on the answers you calculated for parts o-d (increase, decrease, or no effect). g. Assume that instead of paying $15,000 of accounts payable on December 31, 2020. Hames collected $15,000 of accounts receivable. What impact, if any, this receipt will have on the answers you calculated for parts o-d (increase, decrease, or no effect). BROE Working capital d Current rato Acid testato ROI ROE Working capital Current ratio RO: IROL Working capital C ontrato Prev 3 of 12 3 Next >
