Determine the companys ratio of fixed assets

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Question

1. Current Position Analysis

The following items are reported on a company's balance sheet: Cash$210,000Marketable securities120,000Accounts receivable (net)110,000Inventory160,000Accounts payable200,000

Determine (a) the current ratio and (b) the quick ratio. Round your answers to one decimal place.

2. Accounts Receivable Analysis

A company reports the following: Sales$3,150,000Average accounts receivable (net)210,000

Determine (a) the accounts receivable turnover and (b) the number of days' sales in receivables. Round interim calculations to the nearest dollar and final answers to one decimal place. Assume a 365-day year.

3. Long-Term Solvency Analysis

The following information was taken from Charu Company's balance sheet:

Fixed assets (net)$860,000Long-term liabilities200,000Total liabilities600,000Total stockholders' equity250,000

Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.

4. Return on total assets

A company reports the following income statement and balance sheet information for the current year: Net income$410,000Interest expense90,000Average total assets5,000,000 Determine the return on total assets. (Round percentages to one decimal place.)____%?

5. Common Stockholders' Profitability Analysis

A company reports the following: Net income$1,000,000Preferred dividends50,000Average stockholders' equity6,250,000Average common stockholders' equity3,800,000. Determine (a) the return on stockholders' equity and (b) the return on common stockholders' equity. (Round percentages to one decimal place.)

6. Earnings per Share and Price-Earnings Ratio

A company reports the following: Net income$410,000Preferred dividends$60,000Shares of common stock outstanding50,000Market price per share of common stock$84.

a. Determine the company's earnings per share on common stock.

b. Determine the company's price-earnings ratio. ____?

Reference no: EM132359687

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