Markus Company’s common stock sold for $4.50 per share at the end of this year. The company paid a common stock dividend of $0.63 per share this year. It also provided the following data excerpts from this year’s financial statements: Ending Balance Beginning Balance Cash $ 40,000 $ 40,200 Accounts receivable $ 84,000 $ 63,700 Inventory $ 70,600 $ 84,000 Current assets $ 194,600 $ 187,900 Total assets $ 699,000 $ 755,600 Current liabilities $ 78,000 $ 76,500 Total liabilities $ 184,000 $ 165,600 Common stock, $1 par value $ 152,000 $ 152,000 Total stockholders’ equity $ 515,000 $ 590,000 Total liabilities and stockholders’ equity $ 699,000 $ 755,600 This Year Sales (all on account) $ 980,000 Cost of goods sold $ 568,400 Gross margin $ 411,600 Net operating income $ 263,250 Interest expense $ 13,500 Net income $ 174,825 Questions: 11) What is the company’s operating cycle? (Round your intermediate and final answers to 2 decimal places.) 12) a. What is the total asset turnover? (Round your answer to 2 decimal places.) b. What is the times interest earned ratio? (Round your answer to 2 decimal place.) 15) What is the equity multiplier? (Round your answer to 2 decimal places.)
Markus Company’s common stock sold for $4.50 per share at the end of this year. The company paid a common stock dividend of $0.63 per share this year. It also provided the following data excerpts from this year’s financial statements: Ending Balance Beginning Balance Cash $ 40,000 $ 40,200 Accounts receivable $ 84,000 $ 63,700 Inventory $ 70,600 $ 84,000 Current assets $ 194,600 $ 187,900 Total assets $ 699,000 $ 755,600 Current liabilities $ 78,000 $ 76,500 Total liabilities $ 184,000 $ 165,600 Common stock, $1 par value $ 152,000 $ 152,000 Total stockholders’ equity $ 515,000 $ 590,000 Total liabilities and stockholders’ equity $ 699,000 $ 755,600 This Year Sales (all on account) $ 980,000 Cost of goods sold $ 568,400 Gross margin $ 411,600 Net operating income $ 263,250 Interest expense $ 13,500 Net income $ 174,825 Questions: 11) What is the company’s operating cycle? (Round your intermediate and final answers to 2 decimal places.) 12) a. What is the total asset turnover? (Round your answer to 2 decimal places.) b. What is the times interest earned ratio? (Round your answer to 2 decimal place.) 15) What is the equity multiplier? (Round your answer to 2 decimal places.)
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 12RE: Given the following year-end information, compute Greenwood Corporations basic and diluted earnings...
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Question
Markus Company’s common stock sold for $4.50 per share at the end of this year. The company paid a common stock dividend of $0.63 per share this year. It also provided the following data excerpts from this year’s financial statements:
Ending Balance |
Beginning Balance |
|||
Cash | $ | 40,000 | $ | 40,200 |
Accounts receivable | $ | 84,000 | $ | 63,700 |
Inventory | $ | 70,600 | $ | 84,000 |
Current assets | $ | 194,600 | $ | 187,900 |
Total assets | $ | 699,000 | $ | 755,600 |
Current liabilities | $ | 78,000 | $ | 76,500 |
Total liabilities | $ | 184,000 | $ | 165,600 |
Common stock, $1 par value | $ | 152,000 | $ | 152,000 |
Total |
$ | 515,000 | $ | 590,000 |
Total liabilities and stockholders’ equity | $ | 699,000 | $ | 755,600 |
This Year | ||
Sales (all on account) | $ | 980,000 |
Cost of goods sold | $ | 568,400 |
Gross margin | $ | 411,600 |
Net operating income | $ | 263,250 |
Interest expense | $ | 13,500 |
Net income | $ | 174,825 |
Questions:
11) What is the company’s operating cycle? (Round your intermediate and final answers to 2 decimal places.)
12) a. What is the total asset turnover? (Round your answer to 2 decimal places.)
b. What is the times interest earned ratio? (Round your answer to 2 decimal place.)
15) What is the equity multiplier? (Round your answer to 2 decimal places.)
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