What debt to equity ratio is

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Question 1. A corporation reports the following year-end balance sheet data. The company's working capital equals:

Cash$51,000

Current liabilities$86,000

Accounts receivable 66,000

Long-term liabilities 46,000

Inventory 71,000

Common stock 111,000

Equipment 156,000

Retained earnings 101,000

Total assets$344,000

Total liabilities and equity$344,000

Question 2. Desjardin Landscaping's income statement reports net income of $73,500, which includes deductions for interest expense of $10,600 and income taxes of $33,100. Its times interest earned is:

Question 3. A corporation reports the following year-end balance sheet data. The company's acid-test ratio equals:

Cash$45,000

Current liabilities$80,000

Accounts receivable 60,000

Long-term liabilities 20,000

Inventory 65,000

Common stock 105,000

Equipment 150,000

Retained earnings 115,000

Total assets$320,000

Total liabilities and equity$320,000

Question 4. Refer to the following selected financial information from Shakley's Incorporated. Compute the company's times interest earned for Year 2.

                               Year 2                    Year 1

Net sales               $ 481,500           $ 426,850

Cost of goods sold    276,900             250,720

Interest expense         10,300              11,300

Net income before tax  67,850                  53,280

Net income after tax     46,650                    40,500

Total assets                318,300                      291,600

Total liabilities               178,400                       167,900

Total equity                 139,900                      123,700

Question 5. Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for cost of goods sold using 2016 as the base.

                                     2017                       2016

Net sales            $276,700                    $231,500

Cost of goods sold  151,800                        129,690

Operating expenses 55,140                            53,140

Net earnings                28,120                             19,920

Question 6. A corporation reports the following year-end balance sheet data. The company's debt ratio equals:

Cash$47,000

Current liabilities$82,000

Accounts receivable 62,000

Long-term liabilities 40,000

Inventory 67,000

Common stock 107,000

Equipment 152,000

Retained earnings 99,000

Total assets$328,000

Total liabilities and equity$328,000

Question 7. Selected current year company information follows:

Net income$16,253

Net sales 715,855

Total liabilities, beginning-year 86,932

Total liabilities, end-of-year 106,201

Total stockholders' equity, beginning-year 201,935

Total stockholders' equity, end-of-year 126,351

The total asset turnover is (Do not round intermediate calculations.):

Question 8. Refer to the following selected financial information from McCormik, LLC. Compute the company's working capital for Year 2.

                                                        Year 2                        Year 1

Cash                                      $39,000                    $33,750

Short-term investments            105,000                           67,500

Accounts receivable, net              93,000                        87,000

Merchandise inventory                  128,500                      132,500

Prepaid expenses                           13,600                           11,200

Plant assets                                395,500                          345,500

Accounts payable                         105,900                            115,300

Net sales                                      718,500                            683,500

Cost of goods sold                         397,500                             382,500

Question 9. Rajan Company's most recent balance sheet reported total assets of $2.04 million, total liabilities of $0.73 million, and total equity of $1.31 million. Its Debt to equity ratio is:

Question 10. Martinez Corporation reported Net sales of $772,000 and Net income of $135,000. The Profit margin is

Reference no: EM132599165

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