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The condensed financial statements of Marks Company for the years 2017-2018 are presented below: Marks Company Comparative Balance Sheets As of December 31, 2017 and
The condensed financial statements of Marks Company for the years 2017-2018 are presented below: Marks Company Comparative Balance Sheets As of December 31, 2017 and 2018 2018 2017 Cash $384,000 $171,000 Accounts receivable (net) 366,000 301,000 Inventories 375,000 338,000 Plant and equipment 1,842,000 1,112,000 Accumulated depreciation (260,000) (193,000) $2,707,000 $1,729,000 Accounts payable $338,000 $162,000 Dividends payable -0- 45,000 Bonds payable 402,000 -0- Common stock ($10 par) 1,522,000 1,240,000 Retained earnings 445,000 282,000 $2,707,000 $1,729,000 Additional data: Market value of stock at 12/31/18 is $80 per share. Marks sold 33,000 shares of common stock at par on July 1, 2018. Marks Company Condensed Income Statement For the Year Ended December 31, 2018 Sales revenue $2,437,000 Cost of goods sold 1,647,000 Gross profit 790,000 Administrative and selling expenses 501,000 Net income $289,000 Compute the following financial ratios by placing the proper amounts for numerators and denominators. (Round per unit answers to 2 decimal places, e.g. 52.75.) 1125000 (a) Current ratio at 12/31/18 338000 750000 (b) Acid test ratio at 12/31/18 338000 2437000 (c) Accounts receivable turnover in 2018 338500 1647000 (d) Inventory turnover in 2018 365500 289000 (e) Profit margin on sales in 2018 2437000 289000 (f) Earnings per share in 2018 289000 (9) Return on common stock holders' equity in 2018 (h) Price earnings ratio at 12/31/18 (i) Debt to assets at 12/31/18 (1) Book value per share at 12/31/18
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