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Balance Sheet At December 31, 2012 Assets Liabilities and Equity $ 72 $60 Cash Accounts Receivable Merchandise Inventory Accounts Payable Bank Loan, non-current 88 150 100 Prepaid Expenses Property, Plant, and Equipment, at carrying amount Total Assets 40 Preferred Shares 60 Common Shares 250 Retained Earnings Total Liabilities and Equity 320 100 $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold Gross Profit 144 96 Operating Expenses Salaries $ 4 Depreciation 50 Income from Operations 46 Less: Interest Income before Income Taxes 38

Balance Sheet At December 31, 2012 Assets Liabilities and Equity $ 72 $60 Cash Accounts Receivable Merchandise Inventory Accounts Payable Bank Loan, non-current 88 150 100 Prepaid Expenses Property, Plant, and Equipment, at carrying amount Total Assets 40 Preferred Shares 60 Common Shares 250 Retained Earnings Total Liabilities and Equity 320 100 $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold Gross Profit 144 96 Operating Expenses Salaries $ 4 Depreciation 50 Income from Operations 46 Less: Interest Income before Income Taxes 38

FINANCIAL ACCOUNTING
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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AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aa v A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, I Normal T No Spac. Heading 1 Heading 2 Subtle Em.. Emphasis - Editor Dictate x A . I v A - 三 =。 。田 Subtitle Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Q3- Consider the following information: Salinas Limited Balance Sheet At December 31, 2012 Assets Liabilities and Equity Cash $ 72 Accounts Payable $ 60 Accounts Receivable 88 Bank Loan, non-current 150 Merchandise Inventory Prepaid Expenses Property, Plant, and Equipment, at carrying amount 100 40 Preferred Shares 60 Common Shares Retained Earnings Total Liabilities and Equity 250 320 100 Total Assets $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold 144 Gross Profit 96 Operating Expenses Salaries $ 44 Depreciation 6. 50 Income from Operations 46 Less: Interest 8 Income before Income Taxes 38 Less: Income Taxes 18 Net Income $ 20 Page 5 of 6 524 words D Focus 100% 10:34 PM O Type here to search 2021-07-11
Transcribed Image Text:AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aa v A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, I Normal T No Spac. Heading 1 Heading 2 Subtle Em.. Emphasis - Editor Dictate x A . I v A - 三 =。 。田 Subtitle Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Q3- Consider the following information: Salinas Limited Balance Sheet At December 31, 2012 Assets Liabilities and Equity Cash $ 72 Accounts Payable $ 60 Accounts Receivable 88 Bank Loan, non-current 150 Merchandise Inventory Prepaid Expenses Property, Plant, and Equipment, at carrying amount 100 40 Preferred Shares 60 Common Shares Retained Earnings Total Liabilities and Equity 250 320 100 Total Assets $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold 144 Gross Profit 96 Operating Expenses Salaries $ 44 Depreciation 6. 50 Income from Operations 46 Less: Interest 8 Income before Income Taxes 38 Less: Income Taxes 18 Net Income $ 20 Page 5 of 6 524 words D Focus 100% 10:34 PM O Type here to search 2021-07-11
AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aav A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, Subtle Em.. Emphasis - Editor x A - I vA - E E E E I Normal I No Spac. Heading 1 Heading 2 Subtitle Dictate Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Assume that 80% of sales are on credit, that the average of all balance sheet items is equal to the year-end figure, that all preferred share dividends have been paid and the total annual preferred dividend entitlement is $6, and that the number of common shares outstanding is 10. Required: Calculate the following ratios and percentages a. Current ratio b. Return on total assets c. Sales to total assets d. Acid-test ratio e. Times interest earned f. Earnings per common share g. Accounts receivable collection period h. Return on equity Page 6 of 6 524 words D Focus 100% 10:35 PM O Type here to search 2021-07-11 近
Transcribed Image Text:AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aav A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, Subtle Em.. Emphasis - Editor x A - I vA - E E E E I Normal I No Spac. Heading 1 Heading 2 Subtitle Dictate Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Assume that 80% of sales are on credit, that the average of all balance sheet items is equal to the year-end figure, that all preferred share dividends have been paid and the total annual preferred dividend entitlement is $6, and that the number of common shares outstanding is 10. Required: Calculate the following ratios and percentages a. Current ratio b. Return on total assets c. Sales to total assets d. Acid-test ratio e. Times interest earned f. Earnings per common share g. Accounts receivable collection period h. Return on equity Page 6 of 6 524 words D Focus 100% 10:35 PM O Type here to search 2021-07-11 近
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