Question
Total asset turnover 1.5 times Average collection period (assume 365-day year) 15 days Fixed asset turnover 5 times Inventory turnover (based on cost of goods
Total asset turnover | 1.5 times |
|
Average collection period (assume 365-day year) | 15 days | |
Fixed asset turnover | 5 times | |
Inventory turnover (based on cost of goods sold) | 3 times | |
Current ratio | 2.0 times | |
Sales (all on credit) | $4,000,000 | |
Cost of goods sold | 75% of sales | |
Debt ratio | 40% |
Fill in the assets section of the pro forma balance sheet.(Round all items to the nearest dollar.)
Cash | $ | |
Accounts receivable |
| |
Inventories |
| |
Net fixed assets |
| |
Total assets | $ |
Fill in the liabilities and common equity section of the pro forma balance sheet.(Round all items to the nearest dollar.)
Current liabilities | $ | |
Long-term debt |
| |
Total liabilities | $ | |
Common equity |
| |
Total liabilities and common equity |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started