Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Refer to the financial statements of EFG Corp. The firm's times - interets earned for 2018 is ___________. Please provide formula on how to solve
Refer to the financial statements of EFG Corp. The firm's times - interets earned for 2018 is ___________.
Please provide formula on how to solve this problem.
The financial statement of ABC Company are shown below EFG Corp. Sales $7,000,000 Cost of Good Sold 5,000,000 Gross Profit $2,000,000 Selling and Administrative Expenses 1,650,000 EBIT $350,000 Internet Expenses 100,000 Income Before Tax $250,000 Taxes $100,000 Net Income $150,000 EFG Corp. Comparative Balance Sheets 2018 Cash $90,000 Account Receivable 810,000 Inventory 800,000 Total Current Assets $1,700,000 Fixed Assets 2,600,000 Total Assets $4,300,000 Accounts Payable $500,000 Bank Loans 100,000 Total Current Liabilities $600,000 Long-term Bonds 400,000 Total Liabilites $1,000,000 Common Stock 500,000 (20,000 shares) Retained Earning 2,800,000 Total Equity $3,300,000 Total Liabilities and Equity $4,300,000 Note: The common shares are trading in the stock market for $27 each. 2017 $80,000 800,000 720,000 $1,600,000 2,400,000 $4,000,000 $400,000 100,000 $500,000 300,000 $800,000 500,000 2,700,000 $3,200,000 $4,000,000Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started