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The financial statements for Castile Products, Inc. , are given below. Castile Products, inc. Balance Sheet December 31 Assets Current assets: Cash Accounts receivable, net
The financial statements for Castile Products, Inc. , are given below. Castile Products, inc. Balance Sheet December 31 Assets Current assets: Cash Accounts receivable, net Merchandise Inventory Prepaid expenses Total current assets Property and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Bonds payable, 11% Total liabilities Stockholders equity Common stock, 55 per value Retained earnings Total stockholders' equity Total Habilities and stockholders' equity $ 19,000 220,000 310,000 7.000 556,000 380,000 51,436,000 $ 270,000 310,000 580,000 $ 110,000 746,000 855,000 $1,436,000 Castile Products, Inc. Income Statement For the Year eded December 31 Sales Cost of oods sold Gross sargin selling and ministrative expenses Het operating income Interest opene Net Income before taxes Income taxes (10) Net Income 53,360,000 1102,500 2,257,500 570.000 1,687,500 145.100 1,653,400 Account balances at the beginning of the year were: accounts receivable, $200,000, and inventory, $320,000. All sales were on account Required: Compute the following financial data and ratios 0.69 5. Times interest earned ratio 16. Average collection period 27. Average sale period 8. Operating cycle days days days
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