Requirea information COMP 4-2 (Static) Recording Transactions (Including Adjusting and Closing Entries), Preparing Financial Statements, and Performing Ratio Analysis L04-1, 4-2, 4-3, 4-4 (IRT) [The following information applies to the questions displayed below) Aubrae and Tylor Williamson began operations of their furniture repair shop (Furniture Refinishers, Inc.) on January 1 2019. The annual reporting period ends December 31. The trial balance on January 1, 2020, was as follows: Furniture Refinisher's, Inc. Trial Balance on January 1, 2020 Account Titles Debit Cash Credit 5,000 Accounts receivable 4,000 Supplies 2,000 Small tools 6,000 Equipment Accumulated depreciation (on equipment) Other assets (not detailed to simplify) 9,000 Accounts payable 7,000 Dividends payable Notes payable Wages payable Interest payable Income taxes payable Unearned revenue Common stock (60,000 shares, 50.10 par value) 6,000 Additional paid in capital 9.000 Retained earnings 4.000 Service revenue Depreciation expense WAR Expense Interest expense Income tax expense miscellaneous exconses 2.000 Total Transactions during 2020 follow Transactions during 2020 follow. a. Borrowed $20,000 cash on July 1, 2020, signing a one-year, 10 percent note payable b. Purchased equipment for $18,000 cash on July 1, 2020 c. Sold 10,000 additional shares of capital stock for cash at $0.50 market value per share at the beginning of the year d. Earned $70,000 in revenues for 2020, including $14,000 on credit and the rest in cash, e. Incurred $27.000 in wages expense and $8,000 in miscellaneous expenses for 2020, with $7000 on credit and the rest paid with cash. Note: Wages are paid in cash. f. Purchased additional small tools, $3,000 cash. g. Collected accounts receivable, $8,000. h. Paid accounts payable, $11,000. 1. Purchased $10,000 of supplies on account. J. Received a $3,000 deposit on work to start January 15, 2021. k. Declared a cash dividend on December 1, $10,000 paid on December 31. Data for adjusting entries: 1. Supplies of $4.000 and small tools of $8,000 were counted on December 31, 2020 (debit Miscellaneous Expenses) m. Depreciation for 2020, $2,000. in Interest accrued on notes payable (to be computed). o Wages earned since the December 24 payroll but not yet paid $3,000 p. Income tax expense was $4.000 payable in 2021 COMP4-2 Part 7 7-a. Compute the current ratio for 2020. (Round your answer to 2 decimal places.) 7-b. Compute the total asset tumover ratio for 2020. (Round your answer to 2 decimal places) 7-c. Compute the net profit margin ratio for 2020 (Enter your answer as a whole percentage (ie:98 should be entered on 95%) 7-a. Compute the current ratio for 2020. (Roune 7-b. Compute the total asset turnover ratio for a 7-c. Compute the net profit margin ratio for 202 Ratio a Current ratio Total asset turnover C. Net profit margin %
