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Problem: Module 4 Textbook Problem 1 0 Learning Objectives: 4 - 2 Calculate ratios for assessing a company's liquidity 4 - 3 Calculate ratios for

Problem: Module 4 Textbook Problem 10
Learning Objectives:
4-2 Calculate ratios for assessing a company's liquidity
4-3 Calculate ratios for assessing a company's solvency
4-4 Calculate ratios for assessing a company's managerial effectiveness
4-5 Calculate ratios for assessing a company's position in the stock market
Following is the balance sheet of Rooney Company for Year 3:
ROONEY COMPANY
Balance sheet
Assets
Cash $ 15,300
Marketable securities 8,420
Accounts receivable 12,560
Inventory 11,250
Property and equipment 171,000
Accumulated depreciation (12,300)
Total assets $ 206,230
Liabilities and Stockholders Equity
Accounts payable $ 8,960
Current notes payable 3,200
Mortgage payable 4,700
Bonds payable 21,480
Common stock 113,900
Retained earnings 53,990
Total liabilities and stockholders equity $ 206,230
The average number of common stock shares outstanding during Year 3 was 850 shares. Net income for the year was $15,900.
Required
Compute each of the following: (Round your answer to 2 decimal places. For percentages, 0.2345 should be entered as 23.45.)

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