Question 1 (15 Marks) Following are the financial statements for sedywick Corporation for the year ended December 31, 2020: ACCT 605 - Assi Sedgwick Corporation Balance Sheet December 31, 2020 Please let questions ASSETS Adrienne $ Current Assets Cash Accounts receivable Inventory Supplies Total current assets 79,050 119,993 250,292 4,764 Adrienne B Instructor - School of Saskatchew 5 454,099 101,144 $ Property. Plant. & Equipment Land Buildings Less: Accumulated depreciation Store equipment Less: Accumulated depreciation Total property, plant, & equipment Total assets $ 801,079 176 2375 498,523 54838 5 P: 806-691 adrennebo vtech.ca 624,842 5 443,685 1.169.671 1,623,770 Reply 5 LIABILITIES Current abilities Accounts payable Wages payable Income taxes payable Total current liabilities 5 244,900 13,261 24558 5 282,719 Download Print Save to OneDrive ACCT 605 Assignment 2 Rashmeet Virk.... Total current liabilities $ 282,719 Non Current Labilities long-term notes payable (due to be repaid in 5 years) Total liabilities 449,681 $ 732,400 $ EQUITY Common shares Retained earnings Total equity Total liabilities & equity 100,237 791,133 891,370 1,623,770 $ Sedgwick Corporation Income Statement For the Year Ended December 31, 2020 Sales Cost of goods sold Gross profit $ 2,489,252 1,522,186 967,066 $ $ Operating expenses Advertising Salaries Insurance Supplies Depreciation Rent Profit from operations 143,190 408,280 97,072 30,000 76,020 27,998 $ 782,560 184,506 Less Other expenses: Interest Profit before tax Income taxes Profit $ 44,968 139,538 48 838 90.700 Additional information: 1 Sedgwick had accounts receivable in the following amount on December 31, 2019: 2 Sedgwick had inventory in the following amount on December 31, 2019 Sedgwick had total common shareholders' equity in the following amount on December 31, 2019 Moedewickissales for the 2020. Veit were made onaccount Attenti 3. $ S 140,699 272,701 S en 2104 ACCIOUS Assignment Kashmeet Virk... Download O Print Save to OneDrive CUN WILATU HIVCITY VIC TUWI URELIELCIPIOGT, ZUID. Sedgwick had total common shareholders' equity in the following amount on December 31, 2019: 4. All of Sedgwick's sales for the 2020 year were made on account. 5. Sedgwick had 20,000 common shares outstanding for the entire 2019 and 2020 $ 800,670 fiscal years Required: 1. Calculate each of the following ratios for Sedgwick Corporation (8 marks): (a) Current ratio (b) Inventory turnover (c) Return on common shareholders' equity (d) Times interest earned (e) Gross profit (margin) percentage (1) Earnings per share (Debt-to-equity ratio 2 State if the above ratios are favourable or unfavourable in comparison to the industry ratios below. Explain why they are favourable or unfavourable 7 marks): (a) Current ratio 1.3:1 (b) Inventory turnover 4.5 times (c) Return on common shareholders' equity 14.76% (d) Times interest earned 10.8 times lel Gross profit (margin) percentage 5494 (h) Earnings per share 53.22 per share Debt-to-equity ratio 0.42:1 Attention All Students. Please compl Type here to search O