Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Thank you for any help with formulas 240,000 640,000 505,000 135,000 25,000 $ Net Income use the following information to answer the questions note: all

Thank you for any help with formulas image text in transcribed
image text in transcribed
240,000 640,000 505,000 135,000 25,000 $ Net Income use the following information to answer the questions note: all sales are credit sales. Income Statement info 2019 2026 Sales 3800,000 1880,000 use Cost of good soul 220,000 Gross Profit 580, DOO Operating Expenses 480,000 Earnings befuce Tax & Expenses 100,00 Interest Expense 25.000 Earning before Taxes 75,000 110,000 Taxes 25.000 30,000 $ 50,000 80,000 Balance Sheet Info | 12/31/2019 12/31/2020 I Cash 60.000 Accounts Receivable 90,000 Inventory 110.000 130,000 Total Wurrent Assetts $260,000 290.000 Fixed Assets (Net) 300,000 $330.000 Total Assetts $500.000 $ 600.000 Current liabilities |$130,000 $ 140,000 | 170.000 Long Term Liabilities $200,000 Total liabilities 300,000 $340,000 280.000 stockholder's Equity 260.000 5620,000 Total liabitity & Equity 15560,000 65,000 95.000 Profit Margin Compute each of the following Pato's for 2019 and 2010 and whether each ratio was getting better or 'Worse "from 2019 to 2020 and whether to abao rano was "good" or "bad" compared to the industry average cround all Pumbers to a places past decimal), 2019 2020 Bevestigingen strupve compared to the 0.08 Current Ratio 11.80 Quick Ratio 1.12 Return on Assetts 0.18 Debt to Asselts @ Neceivables Turnover 12.00 Ang. Collection Period 22.10 Inventory Turnovers the 8.26 Return on Equity 0.16 Times Earned Interest! 8.15 0.60 * Assume a 360 day year pont Inventory tumover can be computed a diferent Ways use the one many Credit reporting Agencies generally use

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

The Handbook Of Financial Communication And Investor Relations

Authors: Alexander V. Laskin

1st Edition

1119240786, 978-1119240785

More Books

Students also viewed these Finance questions