Question
The balance sheet of XYZ Corporation for the year ending 31-12-2022 is as follows: Assets: Cash: $2,00,000 Accounts Receivable: $5,00,000 Inventory: $10,00,000 Prepaid Expenses: $50,000
The balance sheet of XYZ Corporation for the year ending 31-12-2022 is as follows:
Assets:
Cash: $2,00,000
Accounts Receivable: $5,00,000
Inventory: $10,00,000
Prepaid Expenses: $50,000
Short-term Investments: $4,00,000
Liabilities and Equity:
Accounts Payable: $6,00,000
Short-term Loans: $2,00,000
Long-term Debt: $8,00,000
Common Stock: $10,00,000
Retained Earnings: $5,50,000
Income Statement for the year ending 31-12-2022:
Sales: $50,00,000
Cost of Goods Sold: $30,00,000
Operating Expenses: $8,00,000
Interest Expense: $1,50,000
Tax Rate: 35%
Requirements:
Calculate the current ratio.
Calculate the debt to equity ratio.
Calculate the return on assets.
Calculate the net profit margin.
Calculate the inventory turnover ratio.
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