Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The 2021 Income statement of Adrian Express reports sales of $13,500,000, cost of goods sold of $7.696.000, and net Income of $1,520,000. Balance sheet Information

image text in transcribed

The 2021 Income statement of Adrian Express reports sales of $13,500,000, cost of goods sold of $7.696.000, and net Income of $1,520,000. Balance sheet Information is provided in the following table. ADRIAN EXPRESS Balance Sheets December 31, 2021 and 2820 2e21 2e2e Assets Current assets: Cash Accounts receivable Inventory Long-term assets Total assets Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Common stock Retained earnings Total liabilities and stockholders' equity $ 529.988 1.248. 1,648,808 4,728,889 $8,120,000 $ 688.888 9 20,00 1,320,000 4.160.eee $7,088,888 $1,940, eee 2,250, eee 1,840, eee 2,690,000 $8,120,000 $1.588.688 2.320.000 1.840.000 1,340,000 $7,088,888 Industry averages for the following four risk ratios are as follows: Average collection period Average days in inventory Current ratio Debt to equity ratio 25 days 60 days 2 to 1 sex Required: 1. Calculate the four risk ratios listed above for Adrian Express In 2021. (Use 365 days in a year. Round your answers to 1 decimal place.) Risk Ratios Average collection period Average days in inventory Current ratio Debt to equity ratio

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

Financial Accounting And Reporting

Authors: John McKeith, Bill Collins

2nd Edition

0077138368, 978-0077138363

More Books

Students also viewed these Accounting questions

Question

=+ What does the usage of these products abroad look like?

Answered: 1 week ago