Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The condensed financial statements of Murawski Company for the years 2019 and 2020 are presented follows. (Amounts in thousands.) MURAWSKI COMPANY Balance Sheets December 31

image text in transcribedimage text in transcribedimage text in transcribed

The condensed financial statements of Murawski Company for the years 2019 and 2020 are presented follows. (Amounts in thousands.) MURAWSKI COMPANY Balance Sheets December 31 2020 2019 $ 367 472 472 122 1,433 15 Current assets Cash and cash equivalents Accounts receivable (net) Inventory Prepaid expenses Total current assets Investments Property, plant, and equipment Intangibles and other assets Total assets Current liabilities Long-term liabilities Stockholders' equity-common Total liabilities and stockholders' equity $ 378 382 400 160 1,320 14 350 480 $2,164 $ 772 388 1,004 $2,164 394 540 $2,382 $ 898 404 1,080 $2,382 MURAWSKI COMPANY Income Statements For the Years Ended December 31 2020 2019 2020 $3,790 2019 $3,820 Sales revenue 904 976 2,345 2,392 Costs and expenses Cost of goods sold Selling & administrative expenses Interest expense Total costs and expenses Income before income taxes Income tax expense 25 3,274 3,394 426 516 148 Net Income $368 $ 351 Compute the following ratios for 2020 and 2019. (Round current ratio and invertory turnover ratio to 2 decimal places, e.g. 1.62 or 1.62% and all other answers to 1 decimal place, e.g. 1.6 or 1.6%.) (a) (b) (d) Current ratio. Inventory turnover. (Inventory on 12/31/18 was $311.) Profit margin ratio. Return on assets. (Assets on 12/31/18 were $1,906.) Return on common stockholders' equity. (Stockholders' equity on 12/31/18 was $896.) Debt to assets ratio. Times interest earned. (f) (9) 2020 2019 (a) Current ratio 2020 2019 (a) Current ratio (b) Inventory turnover times times (c) Profit margin ratio (d) Return on assets (e) Return on common stockholders' equity (f) Debt to assets ratio (g) Times interest earned times times Click if you would like to Show Work for this question: Open Show Work

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

Inventory Best Practices

Authors: Steven M. Bragg

2nd Edition

1118000749, 9781118000748

More Books

Students also viewed these Accounting questions

Question

How are the limits set?

Answered: 1 week ago

Question

Please help me find the Disappearance Rate of I 2 on Table 2 .

Answered: 1 week ago