Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Foundational 15 (Algo) (L014-2, LO14-3, LO14-4, LO14-5, LO14-6) [The following information applies to the questions displayed below.) Markus Company's common stock sold for $2.00

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
The Foundational 15 (Algo) (L014-2, LO14-3, LO14-4, LO14-5, LO14-6) [The following information applies to the questions displayed below.) Markus Company's common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per share this year. It also provided the following data excerpts from this year's financial statements: Cash Accounts receivable Inventory Current assets Total assets Current abilities Total Itabilities Common stock, $1 par value Total stockholders' equity Total liabilities and stockholders' equity Ending Balance $ 30,500 $ 52,000 $ 49,300 $ 131,800 $ 353,000 $ 52,500 $ 98,000 $ 111,000 $ 255,000 $ 353,000 Beginning Balance $ 46,000 $ 45,000 $ 52,000 $ 143,000 $ 318,200 $ 37,500 $ 88,200 $ 111,000 $ 230,000 $ 318,200 Sales (all on account) Coat of goods sold Gross margin Net operating income Interest expense Net income This Year $ 585,000 $ 339,300 $ 245, 700 5.75,500 $ 4.500 $.49,700 Foundational 14-1 (Algo) Required: 1. What is the earnings per share? (Round your answer to 2 decimal places.) Earnings per share 7. What is the amount of working capital and the current ratio at the end of this year? (Round "Current ratio" to 2 decimal places.) Working capital Current ratio 8. What is the acid-test ratio at the end of this year? (Round your answer to 2 decimal places.) Acid-test ratio 9. What is the accounts receivable turnover and the average collection period? (Use 365 days in a year. Round your intermediate and final answers to 2 decimal places.) Accounts receivable tumover Average collection period days 10. What is the inventory turnover and the average sale period? (Use 365 days in a year. Round your intermediate and final answers to 2 decimal places.) Inventory turnover Average sale period days 11. What is the company's operating cycle? (Use 365 days in a year. Round your intermediate and final answer to 2 decimal pla Operating cycle days

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupnik

11th edition

78025400, 978-0078025402

More Books

Students also viewed these Accounting questions

Question

please dont use chat gpt AI 9 4 0 . .

Answered: 1 week ago

Question

Prepare a trial balance from the ledger accounts.

Answered: 1 week ago

Question

Correct entries using the correcting entry method.

Answered: 1 week ago