The following financial statements apply to Cowboy Ice Cream Company Year 2 $ 218,800 Year 1 $ 181,300 124,900 20,600 10,400 1,100 19,900 176,900 41,900 101, 100 18,600 9,400 1,100 16 500 146,700 34,600 3:19 $ $ $ Revenues Expenses Cost of goods sold Selling expenses General and administrative expenses Interest expense Income tax expense Total expenses Net income Assets Current assets Cash Marketable securities Accounts receivable Inventories Prepaid expenses Total current assets plant and equipment (net) Intangibles Total assets Liabilities and Stockholders' Equity Liabilities Current liabilities Accounts payable Other Total current liabilities Bonds payable Total liabilities Stockholders' equity Common stock (42,000 shares) Retained earnings Total stockholders equity Total liabilities and stockholders' equity $ 4,700 1,608 35,800 101,200 3,600 146,900 106,300 20,500 $ 273,700 7,600 1,600 31,000 94,000 2,600 136,800 106,300 $ 243, 100 $ 38,300 15 Zee 53,500 64.800 118,300 35,600 16,300 51,900 65, see 117,700 113,700 41,700 155,400 $ 273,700 113,700 11,700 125,400 $ 243,100 Required Calculate the following ratios for Year 2 a. Net margin (Round your answers to 2 decimal places.) b. Return on investment. (Round your answers to 2 decimal places.) c. Return on equity. (Round your answers to 2 decimal places.) d. Times interest earned. (Round your answers to 2 decimal places.) e. Working capital f. Current ratio (Round your answers to 2 decimal places.) g. Quick (acid-test) ratio. (Round your answers to 2 decimal places.) h. Accounts receivable turnover (Round your answers to 2 decimal places.) i. Inventory turnover (Round your answers to 2 decimal places.) j. Debt-to-equity ratio. (Round your answers to 2 decimal places.) k. Debt-to assets ratio. (Round your answers to the nearest whole percent.) Yoon 2 Total stockholders' equity Total liabilities and stockholders' equity 155,400 $ 273,700 LL 400 125,400 $ 243, 100 Required Calculate the following ratios for Year 2 a. Net margin. (Round your answers to 2 decimal places.) b. Return on investment (Round your answers to 2 decimal places.) c. Return on equity (Round your answers to 2 decimal places.) d. Times interest earned. (Round your answers to 2 decimal places.) e. Working capital f. Current ratio. (Round your answers to 2 decimal places.) g. Quick (acid-test) ratio. (Round your answers to 2 decimal places.) h. Accounts receivable turnover. (Round your answers to 2 decimal places.) I. Inventory turnover (Round your answers to 2 decimal places.) J. Debt-to-equity ratio (Round your answers to 2 decimal places.) k. Debt-to-assets ratio. (Round your answers to the nearest whole percent.) a b. Year 2 % % % times C d Net margin Return on investment Return on equity Times interest earned Working capital Current ratio Quick (acid-test) ratio Accounts receivable turnover Inventory tumover Debt-to-equity ratio Debt-to-assets ratio 9 h times times k. %
