Product B Solar Panel Battery (SPB)

Data for the Income Statement (SPB)

The expected total sales for this product for the year end 30 June 2022 are $16,000,000 and the expected total costs and operating expenses are $10,400,000. The costs will be allocated as follows:

Table B-1

Cost/Expense item	Amount ($)
Cost of goods sold	4,700,000
Sales Salaries expense	750,000
Office Salaries expense	600,000
Advertising expense	850,000
Office supplies expense	528,000
Rent expense	980,000
Insurance expense	390,000
Utilities expense	490,000
Depreciation expense	282,000
Interest expense	380,000
Tax expense	450,000
Total	10,400,000

Data for the Balance Sheet (SPB)

The expected accounts for assets, liabilities and equity of Batteries R Us Ltd as at 30 June 2022 are as follows:

Table B-2

Accounts	Amount ($)
Accounts receivable	6,600,000
Accounts payable	6,700,000
Bank	950,000
Capital	15,000,000
Dividends paid	650,000
Equipment	13,500,000
Fixtures	3,500,000
GST Collected	1,600,000
GST Paid	450,000
Inventory	2,250,000
Land and Buildings	28,000,000
Mortgage	27,000,000

Ratios (SPB)

Two of the most important ratios for Batteries R Us Ltd are the quick ratio (or acid test) and the net profit ratio. The company would like to know what these two ratios are and how they compared to the industry averages. Assume the industry averages are 1.00 time (or 1.00:1) for the quick ratio and 34.00% for the net profit ratio. Round your answers to 2 decimal places.