Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash 0 31,950 0 32,359 $ 39,313

Simon Company's year-end balance sheets follow.

image text in transcribedimage text in transcribedimage text in transcribed
At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash 0 31,950 0 32,359 $ 39,313 Accounts receivable, net 09,500 62,100 50,100 Merchandise inventory 114,500 02,000 59,000 Prepaid expenses 10,292 9,002 4,350 Plant assets, net 306,505 205,249 252,419 Total assets $552.25? $ 425,515 $ 405,200 Liabilities and Equity Accounts payable $134,004 $ 20,920 $ 52,41? Long-term notes payable secured by mortgagee on plant assets 101,040 107,406 07,250 Common stock, $10 par value 162,500 162,500 162,500 Retained earnings 153,533 122,509 102,525 Total liabilities and equity $552,252 $ 426,515 $ 405,200 The company's income statements for the Current Year and 1 Year Ago. follow. Assume that all sales are on credit: For Year Ended December 31 Current Yr 1 Yr Ago Sales 0 210,504 0 55?,053 Cost of goods sold 0 430,336 0 360,504 Other operating expenses 222,261 143,454 Interest expense 12,216 13,042 Income tax expense 9,342 0,506 Total costs and expenses 502,555 533,595 Net incong $ 35,929 0 33,45? Earnings per share 3 2.21 0 2.05 (1-a) Compute days' sales uncollected. (1-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Compute days' sales uncollected. Days' Sales Uncollected Choose Numerator: Choose Denominator: X Days Days' Sales Uncollected X Days' Sales Uncollected Current Yr: X 0 days 1 Yr Ago: X 0 days (1-a) Compute days' sales uncollected. (1-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 1A Required 1B For each ratio, determine if it improved or worsened in the current year. Days' sales uncollected

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

Step: 3

blur-text-image

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

Fundamentals Of Financial Accounting

Authors: Fred Phillips, Robert Libby, Patricia A Libby

3rd Edition

0073527106, 9780073527109

More Books

Students also viewed these Accounting questions

Question

A greater tendency to create winwin situations.

Answered: 1 week ago