Computing current, working capital, and eps ratios

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Reference no: EM1354079

The following data are taken from the financial statements of Prone, Inc. as of the end of the year 2007. The data are in alphabetical order.

Accounts payable
$ 28,000
Net income
$ 48,000

Accounts receivable
66,000
Other current liabilities
17,000

Cash
54,000
Total assets
250,000

Gross profit
160,000
Total liabilities
200,000

Income before income taxes
54,000
Wages payable
5,000

Additional information: The number of average common shares outstanding during the year was 40,000.

Instructions: Compute the following:
(a) Current ratio.
(b) Working capital.
(c) Earnings per share.
(d) Debts to total assets ratio.

show your computations and explain your findings

Reference no: EM1354079

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