Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 4 The comparative statements of Wahlberg Company are presented here. Wahlberg Company Income Statement For the Years Ended December 31 2020 2019 Net sales

image text in transcribed
image text in transcribed
image text in transcribed
Question 4 The comparative statements of Wahlberg Company are presented here. Wahlberg Company Income Statement For the Years Ended December 31 2020 2019 Net sales Cost of goods sold Gross profit Selling and administrative expenses Income from operations Other expenses and losses Interest expense Income before income taxes Income tax expense $1,811,500 1,013,400 798,100 515,200 282,900 $1,751,600 985,000 766,600 477,800 288,800 18,600 264,300 83,043 $ 181,257 14,300 274,500 77,600 $ 196,900 Net Income Wahlberg Company Balance Sheets December 31 Assets 2020 2019 Current assets Cash Debt investments (short-term) Accounts receivable Inventory Total current assets Plant assets (net) Total assets $60,600 68,800 116,500 122,500 368,400 603,900 $972,300 $64,900 49,100 101,900 115,000 330,900 521,600 $852,500 Liabilities and Stockholders' Equity Current liabilities Liabilities and Stockholders' Equity Current liabilities Accounts payable Income taxes payable Total current liabilities Bonds payable $161,000 42,000 203,000 220,000 423,000 $144,900 42,100 187,000 200,000 387,000 Total liabilities Stockholders' equity Common stock ($5 par) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 283,700 265,600 549,300 $972,300 301,000 164,500 465,500 $852,500 All sales were on account. Net cash provided by operating activities for 2020 wa wwwy upcially activities for 2020 was $2 Compute the following ratios for 2020. (Round Earnings per share, Current ratic e.g. 6.8 or 6.8%. Use 365 days for calculation.) (a) Earnings per share $ 3.19 (b) Return on common stockholders' equity 35.7 % Return on assets 19.9 % (d) Current ratio 1.81 :1 (e) Accounts receivable turnover 16.6 times Average collection period 22 days (9) Inventory turnover times (h) Days in inventory days (i) Times interest earned times Asset turnover times (k) Debt to assets ratio % Free cash flow

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting an introduction to concepts, methods and uses

Authors: Clyde P. Stickney, Roman L. Weil, Katherine Schipper, Jennifer Francis

13th Edition

978-0538776080, 324651147, 538776080, 9780324651140, 978-0324789003

More Books

Students also viewed these Accounting questions

Question

The steady-state capital stock is the capital stock where

Answered: 1 week ago

Question

What is the effect of word war second?

Answered: 1 week ago

Question

Did you add the logo at correct size and proportion?

Answered: 1 week ago