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Week 1 Homework Put the following data into an income statement and balance sheet, and use the resulting statements to calculate all of the ratios
Week 1 Homework | |
Put the following data into an income statement and balance sheet, and use the resulting statements to calculate all of the ratios discussed in your Week 1 lessons. (See list below). | |
Income statement data: | |
Advertising | (8,000) |
Bad Debts | (2,000) |
COGS | (105,000) |
Depreciation Expense | (12,000) |
Electricity | (1,400) |
Insurance | (1,200) |
Interest Expense | (21,000) |
Other operating revenue | 8,000 |
Rent Expense | (28,500) |
Sales | 300,000 |
Wages & Salaries | (50,500) |
Website marketing | (9,000) |
Other data needed: | |
Tax Rate = 31% | |
Check your work: In order to verify you are putting the correct amounts | |
in the income statement, please use the following check figures: | |
Total revenue | $203,000 |
Total expenses | ($112,600) |
EBIT | $90,400 |
Balance sheet data: | |
Accounts Payable | 12500 |
Accounts Receivable | 18500 |
Accrued Salaries and Wages | 12000 |
Accumulated depreciation | 25500 |
Cash | 17000 |
Current Portion of Long-Term Debt | 16500 |
Deferred Income Tax | 3000 |
Income Taxes Payable | 2500 |
Inventory | 35000 |
Long-term Debt | 58000 |
Long-term Investments | 23000 |
Owners' Investment | 123100 |
Prepaid Expenses | 5000 |
Property, Plant, and Equipment | 175000 |
Retained Earnings | 24000 |
Short-term Investments | 10000 |
Short-term Loans | 6400 |
Check your work: In order to verify you are putting the correct amounts | |
in the balance sheet, please use the following check figures: | |
Total assets | $258,000 |
Total current liabilities | $49,900 |
Total equity | $147,100 |
Market value data needed for ratio analysis: | |
Price per share = $27.15 | |
Earnings per share = $2.20 | |
Book value per share = $21.75 |
Asset Management Ratios |
Inventory Turnover |
= COGS / Average Inventory |
COGS |
Beg Inventory |
Ending Inventory |
DSO |
= Accts Receivable / Avg Daily Sales |
Accounts Receivable |
Total Sales |
Avg. daily sales |
Fixed Asset Turnover |
= Net Sales / Average Fixed Assets |
Net Sales |
Beg Fixed Assets |
End Fixed Assets |
Total Asset Turnover |
= Net Sales / Average Total Assets |
Net Sales |
Beg Total Assets |
End Total Assets |
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