Current Attempt in Progress The following financial information is for Sunland Company SUNLAND COMPANY Balance Sheets December 31 Assets 2022 Cash $ 70,000 Debt investments (short-term) 51,000 Accounts receivable 109,000 Inventory 237,000 Prepaid expenses 27,000 Land 134,000 Building and equipment (net) 263,000 Total assets $891,000 Liabilities and Stockholders' Equity Notes payable $169,000 Accounts payable 69,000 Accrued liabilities 39,000 Bonds payable, due 2025 250,000 Common stock, $10 par 205,000 2021 $ 65,000 40,000 90,000 168,000 27.000 134,000 186,000 $710,000 $104,000 53,000 39,000 172,000 205,000 Question 9 of 10 Notes payable Accounts payable Accrued liabilities Bonds payable, due 2025 Common stock, $10 par Retained earnings Total liabilities and stockholders' equity $169,000 69,000 39,000 250,000 205,000 159,000 $891,000 $104,000 53,000 39,000 172,000 205,000 137.000 $710,000 SUNLAND COMPANY Income Statements For the Years Ended December 31 2022 2021 Sales revenue $892,000 $784,000 Cost of goods sold 644,000 576,000 Gross profit 248.000 208,000 Operating expenses 198,000 161,000 Net Income $ 50,000 $ 47,000 Additional information Question 9 of 10 -11 POTONormation 1. 2. 3. Inventory at the beginning of 2021 was $115,000. Accounts receivable (net) at the beginning of 2021 were $90,000. Total assets at the beginning of 2021 were $640,000. No common stock transactions occurred during 2021 or 2022. All sales were on account. 4. 5. (a1) Compute the liquidity and profitability ratios of Sunland Company for 2021 and 2022. (Round Curent ratio, Asset turnover and Earnings per share to 2 decimal places, eg. 15.50 and round all other answers to 1 decimal place, eg. 15.5. Round % change to O decimal places, for eg. 1% and if % change Is a decrease show the numbers as negative, 6.8.-1% or (196) 2021 2022 % Change LIQUIDITY Current ratio Accounts receivables times :1 times % turnover Inventory turnover times times Gtv RA 13. Homework -/1 Question 9 of 10 times times Accounts receivables turnover Inventory turnover times times %6 2021 2022 % Change PROFITABILITY Profit margin 96 Asset turnover times times Return on assets % Earnings per share $ S (6) Given below are three independent situations and a ratio that may be affected. For each situation, compute the affected ratio (1) as of December 31, 2022, and (2) as of December 31, 2023. after giving effect to the situation (Round Debt to assets ratio to decimal places, es, 15 and round all other answers to 1 decimal place, ug 15.5. Round change to O decimal places, for ex. 1% and 1 % change is a decrease show the numbers as negative, c.8. -1% or (1961) Question 9 of 10 TUT Given below are three independent situations and a ratio that may be affected. For each situation, compute the affected ratio (1) as of December 31, 2022, and (2) as of December 31, 2023, after giving effect to the situation. (Round Debt to assets ratlo to decimal places, es. 15 and round all other answers to 1 decimal place, es, 15.5. Round % change to decimal places, fores. 1% and 1 % change is o decrease show the numbers as negative, eg. -1% or (1961) Situation Ratio 18,000 shares of common stock were sold at par on July 1, 2023, Net income for 2023 was Return on common $52,000 stockholders'equity All of the notes payable were paid in 2023. All other abilities remained at their December 31. Debt to assets ratio 2022 levels. Total assets on December 31, 2023, were $903,000. The market price of common stock was $9 and $12 on December 31, 2022 and 2023, Price-earnings ratio respectively 1 2 3 2022 2023 % Change 96 Return on common stockholders equity Debt to assets ratio Price earnings ratio times times 96