Question
The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. NELSON COMPANY Unadjusted Trial Balance January 31, 2017 Debit Credit Cash $
The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. NELSON COMPANY Unadjusted Trial Balance January 31, 2017 Debit Credit Cash $ 44,500 Merchandise inventory 13,500 Store supplies 5,400 Prepaid insurance 2,800 Store equipment 42,600 Accumulated depreciationStore equipment $ 18,250 Accounts payable 17,000 Common stock 3,000 Retained earnings 15,000 Dividends 2,000 Sales 155,150 Sales discounts 2,000 Sales returns and allowances 2,100 Cost of goods sold 38,000 Depreciation expenseStore equipment 0 Salaries expense 30,500 Insurance expense 0 Rent expense 15,000 Store supplies expense 0 Advertising expense 10,000 Totals $ 208,400 $ 208,400 ________________________________________ Rent expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual inventory system. Additional Information: a. Store supplies still available at fiscal year-end amount to $2,850. b. Expired insurance, an administrative expense, for the fiscal year is $1,500. c. Depreciation expense on store equipment, a selling expense, is $1,650 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,100 of inventory is still available at fiscal year-end. rev: 10_24_2018_QC_CS-145044
I CANNOT FIGURE OUT HOW TO GET THE FOLLOWING:
*** Current ratio
*** Acid-test ratio *** Gross margin ratio
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