Reference no: EM133067253
Question - Cinrich Corporation has the following comparative statement of financial position data:
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CINRICH CORPORATION Statement of Financial Position December 31
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2022
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2021
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Cash
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$26,300
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$30,400
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Receivables (net)
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62,300
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60,900
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Inventory
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57,100
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51,600
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Property, plant and equipment (net)
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199,000
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181,000
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$344,700
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$323,900
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Accounts payable
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$50,000
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$59,300
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Mortgage payable
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99,000
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99,000
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Common shares
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138,000
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120,900
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Retained earnings
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57,700
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44,700
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$344,700
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$323,900
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Additional information for 2022:
1. Net income was $32,200.
2. Sales on account were $348,800.
3. Cost of goods sold was $200,000.
4. The allowance for doubtful accounts was $3,600 at the end of 2022, and $3,800 at the end of 2021.
5. Net cash provided by operating activities was $47,000.
6. Net capital expenditures were $ 24,500, and cash dividends were $19,200.
Required - Calculate the following ratios at December 31, 2022:
(a) Current ratio
(b) Receivables turnover
(c) Average collection period
(d) Inventory turnover
(e) Days in inventory
(f) Free cash flow