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The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In reviewing the statement you notice several errors. LOS

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The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In reviewing the statement you notice several errors. LOS GATOS CORPORATION Balance Sheet At December 31, 2018 Assets Cash Accounts receivable Inventories Machinery (net) Franchise (net) Total assets Liabilities and Shareholders' Equity Accounts payable Allowance for uncollectible accounts Note payable Bonds payable Shareholders' equity Total liabilities and shareholders' equity $ 70,000 125,000 70,000 135,000 45,000 $445,000 $ 80,000 20,000 85,000 125,000 135,000 $445,000 Additional information: 1. Cash includes a $35.000 restricted amount to be used for repayment of the bonds payable in 2022 2. The cost of the machinery is $220,000. 3. Accounts receivable includes a $35,000 note receivable from a customer due in 2021. 4. The note payable includes accrued interest of $20,000. Principal and interest are both due on February 1, 2019. 5. The company began operations in 2013. Income less dividends since inception of the company totals $50,000. 6. 65,000 shares of no par common stock were issued in 2013. 100,000 shares are authorized Required: Prepare a corrected, classified balance sheet. (Amounts to be deducted should be indicated by a minus sign.) LOS GATOS CORPORATION Balance Sheet At December 31, 2018 ces The 2018 balance sheet for Hallbrook Industries, Inc., is shown below. HALLBROOK INDUSTRIES, INC. Balance Sheet December 31, 2018 ($ in 000s) Assets Cash Short-term investments Accounts receivable Inventories Property, plant, and equipment (net) Total assets Liabilities and shareholders' Equity Current liabilities Long-term liabilities Paid-in capital Retained earnings Total liabilities and shareholders' equity $ 360 310 360 370 2,600 $4,000 $ 560 510 1,550 1.380 $4,000 The company's 2018 income statement reported the following amounts ($ in OOos): Net Sales Interest expense Income tax expense Net income $6,200 50 150 320 Required: . -- -- ------- -- - --- - -- Total liabilities and shareholders' equity $4,000 The company's 2018 income statement reported the following amounts ($ in 000s): $6,200 50 Net sales Interest expense Income tax expense Net income 150 320 Required: 1. Calculate the current ratio. (Round your answer to 2 decimal places.) 2. Calculate the acid-test ratio. (Round your answer to 3 decimal places.) 3. Calculate the debt to equity ratio. (Round your answer to 2 decimal places.) 4. Calculate the times interest earned ratio. (Round your answer to 1 decimal place.) 1. 2. 3. 4. Current ratio Acid-test ratio Debt to equity ratio Times interest earned ratio times

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