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Using the financial information in the following tables, compute the required ratios for AJ Ltd ABC COMPANY BALANCE SHEET AS OF DECEMBER 31, 2018 ASSETS
Using the financial information in the following tables, compute the required ratios for AJ Ltd
ABC COMPANY | |||
BALANCE SHEET | |||
AS OF DECEMBER 31, 2018 | |||
ASSETS | 2018 | 2017 | 2016 |
Current assets | |||
Cash | $501,992 | $434,215 | $375,141 |
Accounts receivable | 335,272 | 302,514 | 241,764 |
Inventory | 515,174 | 505,321 | 310,885 |
Prepaid expenses | 251,874 | 231,100 | 136,388 |
Total current assets | $1,604,312 | $1,473,150 | $1,064,178 |
Property, plant, and equipment | 765,215 | 735,531 | 705,132 |
Accumulated depreciation | -218,284 | -196,842 | -175,400 |
TOTAL ASSETS | $2,151,243 | $2,011,839 | $1,593,910 |
LIABILITIES | |||
Current liabilities | |||
Accounts payable | $248,494 | $366,864 | $322,156 |
Accrued liabilities | 122,192 | 216,533 | 215,474 |
Income taxes payable | 10,645 | 25,698 | 22,349 |
Current portion of long-term debt | 42,200 | 42,200 | 42,200 |
Total current liabilities | $423,531 | $651,295 | $602,179 |
Long-term liabilities | |||
Long-term debt | 425,311 | 400,311 | 375,100 |
TOTAL LIABILITIES | $848,842 | $1,051,606 | $977,279 |
STOCKHOLDERS EQUITY | |||
Common stock | $370,124 | $356,758 | $320,841 |
Additional paid-in capital | 29,546 | 24,881 | 21,910 |
Retained earnings | 902,731 | 578,594 | 273,880 |
Total stockholders equity | $1,302,401 | $960,233 | $616,631 |
LIQUIDITY RATIOS: | 12/31/2018 | 12/31/2017 | Change | % Change |
Current ratio | ||||
Current assets/Current liabilities | ||||
Quick ratio | ||||
(Current assets Inventory)/Current liabilities |
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