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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?
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