Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The 2021 income statement of Adrian Express reports sales of $13,206,000, cost of goods sold of $7,471,500, and net income of $1,510,000. Balance sheet information

The 2021 income statement of Adrian Express reports sales of $13,206,000, cost of goods sold of $7,471,500, and net income of $1,510,000. Balance sheet information is provided in the following table. Assets Current assets: Cash Accounts receivable Inventory ADRIAN EXPRESS Balance Sheets December 31, 2021 and 2020 Long-term assets Total assets Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Common stock Retained earnings Total liabilities and stockholders' equity 2021 2020 $ 510,000 $ 670,000 910,000 1,220,000 1,620,000 1,310,000 4,710,000 4,150,000 $8,060,000 $7,040,000 Industry averages for the following four risk ratios are as follows: $1,930,000 $1,570,000 2,270,000 2,310,000 1,820,000 1,820,000 2,040,000 1,340,000 $8,060,000 $7,040,000
image text in transcribed
image text in transcribed
The 2021 income statement of Adrian Express reports sales of $13,206,000, cost of goods sold of $7,471,500, and net income of $1,510,000. Balance sheet information is provided in the following table. Industry averages for the following fout risk ratios are as follows: Industry averages for the following four risk ratios are as follows: Required: 1. Calculate the four risk ratios IIsted above for Adrian Express in 2021. (Use 365 days in a year. Round your answers to 1 decimal place.)

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

Auditing Assurance And Risk

Authors: W. Robert Knechel, Steve Salterio, Brian Ballou

3rd Edition

0324313187, 9780324313185

More Books

Students also viewed these Accounting questions