Question
Use the following industry average ratios to construct a pro forma balance sheet. Total asset turnover: 2.4 times Average collection period (assume 365 day year):
Use the following industry average ratios to construct a pro forma balance sheet.
Total asset turnover: 2.4 times
Average collection period (assume 365 day year): 9.1 days
Fixed asset turnover: 5.4 times
Inventory turnover: 2.8 times
Current ratio:2.1 times
sales (all on credit): $3.65 million
Cost of goods sold: 79% of sales
Debt ratio:50%
The company's current liabilities are?
The company's long-term debt is?
The company's common equity is?
The current cash amount is?
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Short Term Financial Management
Authors: Ned C. Hill, William L. Sartoris
3rd Edition
0023548320, 978-0023548321
