2. Calculate each ratio for Company A using the 2020 information from the balance sheets and income statements given below. Current Ratio Quick Ratio Debt/Equity Times Interest Earned Inventory Turnover Return on Assets (ROA) Return on Equity (ROE) Market-to-book Ratio Company A Consolidated Balance Sheet (in thousands) December 31 2020 2019 Assets Current Assets: Cash and Cash Equivalents $380,626 $349,953 Accounts Receivable, net $80,545 $62,312 Inventory $30,096 $21,555 Prepaid Expenses and other current assets $57,076 $54,129 Total Current Assets $548,343 $914,794 Property and Equipment $1,458,690 $1,379,254 Operating Lease Assets $2,800,222| $1,258,293

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Other Assets
$18,450
$19,332
Goodwill
$21,939
$21,939
Total Assets
$4,847,644
$3,166,767
Liabilities and Shareholders' Equity
Current Liabilities:
Accounts Payable
$115,816
$113,071
Accrued Liabilities
$155,843
$147,849
Current Operating Lease Liabilities
$200,139
$146,938
Current Portion of Debt
$228,784
$261,593
Total Current Liabilities
$700,582
$669,451
Long Term Operating Lease Liabilities
$856,371
$698,562
Long Term Debt
$331,298
$314,015
Deferred Income Tax Liabilities
$37,814
$11,566
Other Liabilities
$38,797
$31,638
Total Liabilities
$1,964,862
$1,725,232
Stockholders' Equity
Additional Paid-In Capital
$1,465,697
$974,154
Accumulated Other Comprehensive Loss
($5,363)
($6,236)
Retained Earnings
$721,148
$473,617
Total Shareholders' Equity
$2,181,482
$1,441,535
Total Liabilities and Shareholders' Equity
$4,146,344
$3,166,767
Transcribed Image Text:Other Assets $18,450 $19,332 Goodwill $21,939 $21,939 Total Assets $4,847,644 $3,166,767 Liabilities and Shareholders' Equity Current Liabilities: Accounts Payable $115,816 $113,071 Accrued Liabilities $155,843 $147,849 Current Operating Lease Liabilities $200,139 $146,938 Current Portion of Debt $228,784 $261,593 Total Current Liabilities $700,582 $669,451 Long Term Operating Lease Liabilities $856,371 $698,562 Long Term Debt $331,298 $314,015 Deferred Income Tax Liabilities $37,814 $11,566 Other Liabilities $38,797 $31,638 Total Liabilities $1,964,862 $1,725,232 Stockholders' Equity Additional Paid-In Capital $1,465,697 $974,154 Accumulated Other Comprehensive Loss ($5,363) ($6,236) Retained Earnings $721,148 $473,617 Total Shareholders' Equity $2,181,482 $1,441,535 Total Liabilities and Shareholders' Equity $4,146,344 $3,166,767
2. Calculate each ratio for Company A using the 2020 information from the balance sheets and income
statements given below.
Current Ratio
Quick Ratio
Debt/Equity
Times Interest Earned
Inventory Turnover
Return on Assets (ROA)
Return on Equity (ROE)
Market-to-book Ratio
Company A Consolidated Balance Sheet (in thousands)
December 31
2020
2019
Assets
Current Assets:
Cash and Cash Equivalents
$380,626
$349,953
Accounts Receivable, net
$80,545
$62,312
Inventory
$30,096
$21,555
Prepaid Expenses and other current assets
$57,076
$54,129
Total Current Assets
$548,343
$914,794
Property and Equipment
$1,458,690
$1,379,254
Operating Lease Assets
$2,800,222
$1,258,293
Transcribed Image Text:2. Calculate each ratio for Company A using the 2020 information from the balance sheets and income statements given below. Current Ratio Quick Ratio Debt/Equity Times Interest Earned Inventory Turnover Return on Assets (ROA) Return on Equity (ROE) Market-to-book Ratio Company A Consolidated Balance Sheet (in thousands) December 31 2020 2019 Assets Current Assets: Cash and Cash Equivalents $380,626 $349,953 Accounts Receivable, net $80,545 $62,312 Inventory $30,096 $21,555 Prepaid Expenses and other current assets $57,076 $54,129 Total Current Assets $548,343 $914,794 Property and Equipment $1,458,690 $1,379,254 Operating Lease Assets $2,800,222 $1,258,293
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