Question
Use the following industry average ratios to construct a balance sheet for Goshu Inc. Total asset turnover 2 times Average collection period (assume a 365
Use the following industry average ratios to construct a balance sheet for Goshu Inc.
Total asset turnover 2 times
Average collection period (assume a 365 days a year) 9 days
Fixed asset turnover 5 times
Inventory turnover (based on COGS) 3 times
Current ratio 2 times
Sales (all on credit) RM4 million
COGS 75% of sales
Debt ratio 50%
Balance sheet
Cash
Inventory
Accounts receivable
Net fixed assets
Total Assets
Current liabilities
Long term debt
Common stock
Retained earnings
Total Liabilities + Equities
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Real Estate Finance
Authors: John P. Wiedemer, Keith J. Baker
9th edition
324181426, 324181425, 978-0324181425
