Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net $ 31,600 88,000 112,500 10,650 281,000 $ 36,250 $ 62,000 83,800 9,350 249,500 38,400 49,500 52,500 4,500 235,000 $523,750 $440,900 $ 379,900 Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $128,400 $ 74,750 $ 50,800 97,000 160,500 137,850 98,250 160,500 107,400 $440,900 $ 379,900 81,600 160,500 87,000 Total liabilities and equity $523,750 The company's income statements for the Current Year and 1 Year Ago, follow. 1 Yr Ago $ 620,000 Current Yr For Year Ended December 31 Sales Cost of goods sold other operating expenses Interest expense $755,000 $445,450 234,050 11,300 $390,600 148,800 12,700 8,925 9,550 Income tax expense Total costs and expenses. 561,025 700,350 $ 54,650 $58,975 Net income $4 3.40 2$ 3.67 Earnings per share For both the Current Year and 1 Year Aao. compute the followina ratios:
Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net $ 31,600 88,000 112,500 10,650 281,000 $ 36,250 $ 62,000 83,800 9,350 249,500 38,400 49,500 52,500 4,500 235,000 $523,750 $440,900 $ 379,900 Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $128,400 $ 74,750 $ 50,800 97,000 160,500 137,850 98,250 160,500 107,400 $440,900 $ 379,900 81,600 160,500 87,000 Total liabilities and equity $523,750 The company's income statements for the Current Year and 1 Year Ago, follow. 1 Yr Ago $ 620,000 Current Yr For Year Ended December 31 Sales Cost of goods sold other operating expenses Interest expense $755,000 $445,450 234,050 11,300 $390,600 148,800 12,700 8,925 9,550 Income tax expense Total costs and expenses. 561,025 700,350 $ 54,650 $58,975 Net income $4 3.40 2$ 3.67 Earnings per share For both the Current Year and 1 Year Aao. compute the followina ratios:
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter6: Receivables And Inventories
Section: Chapter Questions
Problem 6.2MBA: Allowance method Using transactions listed in £6-S. indicate the effects of each transaction on the...
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