See Chapter 4 Hospitality Finance-EXCEL.xlsx

I'm currently taking a course in Financial Analysis in the Hospitality Industry. Could you please answer the 4 individual questions in each tab of the attached excel file? Thank You.

Chapter 4, Question 1 Kwan's boss has asked him to evaluate his current assets on his balance sheet. However, Kwan is not exactly sure what his current assets are. Help Kwan by examining his balance sheet accounts and answering the following questions. Balance Sheet Accounts Investments Other Current Liabilities 373,256 73,954 Building 627,998 Accounts Payable 213,659 Long-Term Debt 395,315 Cash 85,976 Furnishings and Equipment Notes Payable 308,334 47,858 Marketable Securities 196,154 Paid in Capital 486,486 Accumulated Depreciation 203,144 Inventories Common Stock 51,818 133,421 Prepaid Expenses 15,000 Retained Earnings 477,500 Land 309,080 Net Receivables 40,000 Other Assets 23,721 Current Asset Accounts Dollar Amount Total Current Assets a. Identify the current assets. b. List them in the order of liquidity. c. Calculate Total Current Assets. d. Explain to Kwan why each current asset is listed in its particular order of liquidity. Answers: a. b. c. d. Chapter 4 Q1 Chapter 4, Question 2 Aidan Norton owns Aidan's Lodge in a rural Midwestern town. His accountant is out with the u, and Aidan has to develop his balance sheet without his accountant's help. Using the following balance sheet accounts, help Aidan complete his balance sheet. Balance Sheet Accounts Investments 1,275,000 Paid in Capital 3,000,000 Other Current Liabilities 1,590,000 Accumulated Depreciation 1,185,000 Building 3,250,000 Inventories 380,000 Accounts Payable 1,460,000 Common Stock 750,000 Long-Term Debt 1,800,000 Retained Earnings 2,865,000 Land 1,957,500 Net Receivables 2,675,000 Cash 587,500 Furnishings and Equipment 1,850,000 Notes Payable 335,000 Marketable Securities Other Assets 840,000 Aidan's Lodge Balance Sheet December 31, 20XX Assets Current Assets Liabilities and Owners' Equity Current Liabilities Total Current Liabilities Total Current Assets Long-Term Liabilities Property and Equipment Total Liabilities Owners' Equity Net Property and Equipment Total Owners' Equity Total Assets Chapter 4 Q2 Total Liabilities and Owners' Equity 170,000 Chapter 4, Question 3 Rachel owns a franchise restaurant of a large restaurant chain in New England. Help her calculate a vertical analysis of her balance sheet. Rachel's Restaurant Balance Sheet December 31, 20XX $ Assets Current Assets Cash Marketable Securities Net Receivables Inventories Total Current Assets Investments Property and Equipment Land Building Furnishings and Equipment Less Accumulated Depreciation Net Property and Equipment Other Assets Total Assets % 57,317 130,769 80,000 34,545 248,837 206,053 418,665 205,556 135,429 15,814 Liabilities and Owners' Equity Current Liabilities Accounts Payable Notes Payable Other Current Liabilities Total Current Liabilities 142,439 31,905 147,907 Long-Term Liabilities Long-Term Debt Total Liabilities 218,272 Owners' Equity Common Stock Paid in Capital Retained Earnings Total Owners' Equity 78,947 324,324 318,333 Total Liabilities and Owners' Equity Rachel has been asked by her regional manager to compare her balance sheet percentages with the averages of the chain. Select percentages of the chain are below: Select Chain Percentages (Vertical Analysis) Cash Inventories Accounts Payable Notes Payable 6.70% 1.30% 10.50% 1.10% a. Compare Rachel's Cash % with the chain's %. Is it higher or lower? What might this mean? b. Compare Rachel's Inventories % with the chain's %. Is it higher or lower? What might this mean? c. Compare Rachel's Accounts Payable % with the chain's %. Is it higher or lower? What might this mean? d. Compare Rachel's Notes Payable % with the chain's %. Is it higher or lower? What might this mean? Answers: a. b. c. d. Chapter 4 Q3 Chapter 4, Question 4 Rachel's regional manager (from Question 3) has asked Rachel to calculate a horizontal analysis of her balance sheet. Help Rachel calculate her horizontal analysis. Rachel's Restaurant Balance Sheet December 31, 20XX Last Year This Year $ Change % Change Assets Current Assets Cash Marketable Securities Net Receivables Inventories Total Current Assets 63,049 104,615 64,000 48,363 57,317 130,769 80,000 34,545 323,488 248,837 206,053 418,665 267,223 142,710 206,053 418,665 205,556 135,429 12,651 15,814 Current Liabilities Accounts Payable Notes Payable Other Current Liabilities Total Current Liabilities 253,354 38,286 192,279 142,439 31,905 147,907 Long-Term Liabilities Long-Term Debt Total Liabilities 102,560 218,272 Owners' Equity Common Stock Paid in Capital Retained Earnings Total Owners' Equity 102,631 421,621 254,666 78,947 324,324 318,333 Investments Property and Equipment Land Building Furnishings and Equipment Less Accumulated Depreciation Net Property and Equipment Other Assets Total Assets Liabilities and Owners' Equity Total Liabilities and Owners' Equity a. Rachel's regional manager told her to try and decrease her accounts receivable this year. Did she do this? b. Rachel's regional manager told her to try and reduce her inventories this year to be more in line with the chain's average inventories. Did she do this? c. Rachel's regional manager told her to pay more of her accounts payable this year. Did she do this? d. Rachel's regional manager told her to pay off more of her total current liabilities this year. Did she do this? e. Based on her ability to achieve the goals outlined in a. through d. above, do you think Rachel did a good job overall? Answers: a. b. c. d. e. Chapter 4 Q4