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The 2024 income statement of Adrian Express reports sales of $15,642,000, cost of goods sold of $9,351,500, and net income of $1,590,000. Balance sheet
The 2024 income statement of Adrian Express reports sales of $15,642,000, cost of goods sold of $9,351,500, and net income of $1,590,000. Balance sheet information is provided in the following table. ADRIAN EXPRESS Balance Sheets Assets Current assets: Cash Accounts receivable Inventory Long-term assets Total assets December 31, 2024 and 2023 2024 2023 $590,000 $750,000 1,380,000 990,000 1,780,000 1,390,000 4,790,000 4,230,000 $8,540,000 $7,360,000 Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Common stock Retained earnings Total liabilities and stockholders' equity: Industry averages for the following four risk ratios are as follows: $2,010,000 $1,650,000 2,290,000 2,390,000 1,980,000 1,980,000 2,260,000 1,340,000 $8,540,000 $7,360,000 Average collection period Average days in inventory Current ratio Debt to equity ratio 25 days 60 days 2 to 1 50%
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