Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The comparative statements of Blossom Company are presented here. Blossom Company Income Statements For the Years Ended December 31 Net sales Cost of goods
The comparative statements of Blossom Company are presented here. Blossom Company Income Statements For the Years Ended December 31 Net sales Cost of goods sold Gross profit Selling and administrative expenses Income from operations Other expenses and losses Interest expense Income before income taxes Income tax expense Net income 2025 $1,919,400 1,067,000 852,400 520,000 332,400 22,880 309,520 92,856 $216,664 2024 $1.785,000 1,046,240 738,760 498,160 240,600 20,800 219,800 65,940 $153,860 Assets Blossom Company Balance Sheets December 31 Current assets Cash Debt investments (short-term) Accounts receivable (net) Inventory Total current assets Plant assets (net) Total assets Liabilities and Stockholders' Equity Current liabilities Accounts payable Income taxes payable Total current liabilities Bonds payable Total liabilities Stockholders' equity Common stock ($4 par) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 2025 $62,504 76,960 122,512 131,040 106,912 120,120 345,800 541,112 $1.067.976 $886,912 393,016 674,960 211.640 2024 $66,768 $166,400 $151,216 45,240 228,800 52,000 627,536 43,680 208,000 440,440 402,896 194,896 301,600 312,000 325,936 172,016 484,016 $1,067,976 $886,912 All sales were on credit. Net cash provided by operating activities for 2025 was $228,800. Capital expenditures were $141,440, and cash dividends paid were $62,744. Compute the following ratios for 2025. (Round Debt to asset ratio and Free cash flow to O decimal places, e.g. 15 or 15%, Earnings per share, Return on assets, Current ratio and Asset turnover to 2 decimal places, e.g. 1.83 or 1.83% and all other answers to 1 decimal place, e.g. 1.8 or 1.8%. Use 365 days for calculations.) a. b. C. d. e. f. g. h. j. k. I. Earnings per share Return on common stockholders' equity Return on assets Current ratio Accounts receivable turnover Average collection period Inventory turnover Days in inventory Times interest earned Asset turnover Debt to assets ratio Free cash flow LA 10 % % :1 times days times days times times %
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To compute the requested ratios and free cash flow for Blossom Company in 2025 a Earnings per share EPS EPS Net income Average number of common shares ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started