Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Use the following information to answer the questions: Assets Liabilities and Equity Cash 8,000 Accounts payable 20,000 Marketable securities 2,000 Notes payable 6,000 Accounts receivable

Use the following information to answer the questions:

Assets Liabilities and Equity
Cash 8,000 Accounts payable 20,000
Marketable securities 2,000 Notes payable 6,000
Accounts receivable 6,000 Current liabilities 26,000
Inventory 24,000 Long-term debt 95,000
Current assets 40,000 Total liabilities 121,000
Machines 34,000 Paid-in capital 20,000
Real estate 80,000 Retained earnings 13,000
Net fixed assets 114,000 Equity 33,000
Total assets 154,000 Total liab. & equity 154,000

Line item Value
Sales 76,000
- Costs 62,320
- Depreciation 2,000
= EBIT 11,680
- Interest 800
= Taxable income 10,880
- Taxes 3,590
= Net income 7,290

What is the total debt to total capital ratio?

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

The Handbook Of Investing In Todays Financial Markets

Authors: Alessandro De Cristofaro

1st Edition

1070350931, 978-1070350936

More Books

Students also viewed these Finance questions

Question

Explain the factors influencing wage and salary administration.

Answered: 1 week ago

Question

Examine various types of executive compensation plans.

Answered: 1 week ago

Question

1. What is the meaning and definition of banks ?

Answered: 1 week ago

Question

2. What is the meaning and definition of Banking?

Answered: 1 week ago

Question

8. Provide recommendations for how to manage knowledge.

Answered: 1 week ago