Solution-Compute the following ratios for 2014

Compute the following ratios for 2014

Assignment Help Cost Accounting

Reference no: EM13496090

The comparative statements of Osborne Company are presented here.

OSBORNE COMPANY Income Statements For the Years Ended December 31
	2014	2013
Net sales	$1,896,390	$1,756,350
Cost of goods sold	1,064,390	1,011,850
Gross profit	832,000	744,500
Selling and administrative expenses	505,850	484,850
Income from operations	326,150	259,650
Other expenses and losses
Interest expense	23,785	21,785
Income before income taxes	302,365	237,865
Income tax expense	93,785	74,785
Net income	$ 208,580	$ 163,080

OSBORNE COMPANY Balance Sheets December 31
Assets	2014	2013
Current assets
Cash	$ 60,100	$ 64,200
Debt investments (short-term)	74,000	50,000
Accounts receivable	123,650	108,650
Inventory	127,785	117,285
Total current assets	385,535	340,135
Plant assets (net)	662,341	533,641
Total assets	$1,047,876	$873,776
Liabilities and Stockholders' Equity
Current liabilities
Accounts payable	$ 165,850	$151,250
Income taxes payable	45,285	43,785
Total current liabilities	211,135	195,035
Bonds payable	233,341	213,341
Total liabilities	444,476	408,376
Stockholders' equity
Common stock ($5 par)	290,000	300,000
Retained earnings	313,400	165,400
Total stockholders' equity	603,400	465,400
Total liabilities and stockholders' equity	$1,047,876	$873,776

All sales were on account. Net cash provided by operating activities for 2014 was $241,920. Capital expenditures were $136,400, and cash dividends were $60,580.

Compute the following ratios for 2014.

(a) Earnings per share
(b) Return on common stockholders' equity
(c) Return on assets
(d) Current ratio
(e) Accounts receivable turnover
(f) Average collection period
(g) Inventory turnover
(h) Days in inventory
(i) Times interest earned
(j) Asset turnover
(k) Debt to assets
(l) Current cash debt coverage
(m) Cash debt coverage
(n) Free cash flow

Reference no: EM13496090

Questions Cloud

The monthly sales demand for a new product is uncertain : The monthly sales demand for a new product is uncertain, but it is considered to be adequately described by a normal random variable with mean 50,000 units and variance 100,000,000.

Record the payroll entry and payroll tax entry : Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each week.

Explain the ph of the hf solution before base is added : what is the pH of the HF solution before base is added. 3) What is the pH at eqivalence point. 4) what is the pH at 1/2 volume to equivalence point.

Evaluate the tension in the rope : A 212-kg log is pulled up a ramp by means of a rope that is parallel to the surface of the ramp. evaluate the tension in the rope

Compute the following ratios for 2014 : All sales were on account. Net cash provided by operating activities for 2014 was $241,920. Capital expenditures were $136,400, and cash dividends were $60,580.

Explain when delta h is negative and delta s is positive : If delta H is negative and delta S is positive, which of the following is true? a) The reasction os never spontaneous, b) the reaction is always spontaneous

Provide new thoughts and insights relating : Demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic.

Determine how much energy does the battery have left : A 5.0 V battery storing 72.0 kJ of energy supplies 1.5 A of current to a circuit. How much energy does the battery have left after powering the circuit for 1.0 h

What proportion of these cars would fall into the 22 to 27 : Suppose that highway gas mileage rates for both of these cares are uniformly distributed over a range of 20 to 30 mpg. What proportion of these cars would fall into the 22 to 27 mpg range? Compute the proportion of cars that get more than 28 m..

User Account

All Pages

Compute the following ratios for 2014

Reference no: EM13496090

Reference no: EM13496090

Questions Cloud

Reviews

Write a Review

Cost Accounting Questions & Answers

Cost accounting assignment

Prepare the journal entries

Advise as to the liability of all the parties

Prepare revenues budget

Effect of exchange rate changes on cash and cash

Corporate governance

Cost-benefit analysis

Non-annual interest rates and annuities

Job costing in service organizations

Accounting for bad debt expense

Accounting and partnership problems

Development of relevant cash flows

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT