The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 2017, 20Y6, and 2015:December 31Total assetsNotes payable (8% interest)Common stockPreferred 4% stock, $100 part(no change during year)20Y7$204,00070,00028,00014,00020Y6$184,00070,00028,00014,00073,380Retained earnings51,84042,000The 2017 net income was $22,100, and the 20Y6 net income was $10,400. No dividends on common stock were declared between 20Y5 and 2017. Preferred dividends were declared and paid in full in 2016 and 20Y7.a. Determine the return on total assets, the rate earned on stockholders' equity, and the return on common stockholders' equity for the years 20Y6 and 20Y7. When required, round to one decimal place.20Y720Y6Return on total assetsReturn on stockholders' equityReturn on common stockholders' equityb. The profitability ratios indicate that Vidahill Inc.'s profitability has%%20Y5$164,00070,00028,000%14,000M%%Since the rate of return on assets isthe return on stockholders' equity in both years, there must beleverage from the use of debt.

Ratio analysis involves evaluating a company's financial health by interpreting relationships…

a. Determine the return on total assets, the rate earned on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 20Y7. When required, round to one decimal place. 20Y7 20Y6 Return on total assets Return on stockholders' equity Return on common stockholders' equity b. The profitability ratios indicate that Vidahill Inc.'s profitability has % % % % % Since the rate return on assets is the return on stockholders' equity both years, there must bel leverage from the use of det

a. Determine the return on total assets, the rate earned on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 20Y7. When required, round to one decimal place. 20Y7 20Y6 Return on total assets Return on stockholders' equity Return on common stockholders' equity b. The profitability ratios indicate that Vidahill Inc.'s profitability has % % % % % Since the rate return on assets is the return on stockholders' equity both years, there must bel leverage from the use of det

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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Assets ($) 2019 2018 2017 Cash on Hand & at Banks 1844388 2907252 3696201 Accounts Receivable Net 21373839 27958818 23638244 Notes Receivable 0 0 0 Post Dated Cheques 7430502 5910795 5481999 Short Term Investments 111502 111502 0 Inventory 14772540 15359933 16127022 Total Current Assets 50764763 59355234 56162203 Long Term Investments 2247122 2305477 2346362 Fixed Assets Net 36960544 32892460 23018610 Lands 3338194 3344028 3364400 Projects in Progress 5544 4350057 10455510 Total Fixed Assets 40304282 40586545 36838520 Other Assets 6417935 6157108 5067638 Total Assets 99734102 108404364 100414723 Liabilities ($) 2019 2018 2017 Accounts and Notes Payable 9488026 9042459 6830212 Credit Banks 21176536 19278649 13508941 Short Term Loans 15347569 14306482 12568640 Accrued Part of Long Term Loans 3816788 3818532 3663256 Total Current Liabilities 63973817 67090416 44303485 Long Term Loans & Notes Payable 9883426 8547662 10299548 Other…
i, j and k
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