Question
The following items are taken from the financial statements of Grove Company for 2012: Accounts Payable $18,500 Accounts Receivable 4,000 Accumulated Depreciation 4,800 Bonds Payable
The following items are taken from the financial statements of Grove Company for 2012:
Accounts Payable $18,500
Accounts Receivable 4,000
Accumulated Depreciation 4,800
Bonds Payable 18,000
Cash 24,000
Common Stock 25,000
Cost of Goods Sold 17,000
Depreciation Expense 4,800
Dividends 5,300
Equipment 44,000
Interest Expense 2,500
Patents 7,500
Retained Earnings, January 1 16,000
Salaries Expense 5,200
Sales Revenue 36,500
Supplies 4,500
Instructions
(a) Prepare an Income Statement, Statement of Retained Earnings and a Classified Balance Sheet for Grove Company.
(b) Compute the following ratios and values:
1. Current ratio
2. Debt to total assets ratio
3. Working capital
4. Earnings per share (Groves average number of shares outstanding during the year was 5,000.)
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