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A. Use the following information for questions Cash $ 90,000 Inventory 1110,000 B- Rama company is financing a new Sales (all on credit) $
A. Use the following information for questions Cash $ 90,000 Inventory 1110,000 B- Rama company is financing a new Sales (all on credit) $ 12,000,000 Net plant and equipment 2400,000 truck with a loan now of $30,000, to be repaid in 5 annual end-of-year Marketable securities 150,000 Selling and administrative expense* 1350,000 installments of $7513.68. What Interest expense 150,000 Liabilities and Stockholders' Equity annual interest rate is the company Accounts payable $ 150,000 paying? (5 MARKS) C- Ahmed would like to purchase a Notes payable 750,000 Retained earnings 1800,000 Cost of goods sold 9,000,000 Accounts receivable 1050,000 home in five (10) years. The Long-term liabilities 900,000 individual will accumulate enough es 300,000 Extraordinary loss 600,000 money for a $40,000 down payment by making equal monthly payments to Common stock 1200,000 an account that is expected to earn From the information above please: 12% annual interest compounded 1- Prepare the Balance sheet.(7.5 MARKES) monthly. How much are the equal monthly payments? (5 MARKS) 2- Prepare the Income statement) (7.5 MARKES) 3-Calculate the following ratios and what these ratios masseurs? (13 MARKS) Selling and administrative expense*Includes $150,000 in lease payments A, Profitability ratios 1. Profit margin: C. Liquidity ratios.: 2. Return on assets (investment) 9. Current ratio: evaluate 3. Return on equity: 10. Quick ratio B. Asset utilization ratios: D. Debt utilization ratios 4. Receivable turnover: 11. Debt to total assets: 5. Average collection period 12. Times interest earned 6. Inventory turnover: 13. Fixed charge coverage 7. Fixed asset turnover: 8. Total asset turnover:
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