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Calculate the current ratio and debt to total assets ratio as at December 31, 2022 and 2023. Calculate the free cash flow for December 31, 2023. (Round answers to 2 decimal places, e.g. 52.75, Show amounts that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis e.g. (15,000)) Current ratio Debt to total assets ratio Free cash flow, December 31, 2023 $ 2023 11 % 2022 11 %

Calculate the current ratio and debt to total assets ratio as at December 31, 2022 and 2023. Calculate the free cash flow for December 31, 2023. (Round answers to 2 decimal places, e.g. 52.75, Show amounts that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis e.g. (15,000)) Current ratio Debt to total assets ratio Free cash flow, December 31, 2023 $ 2023 11 % 2022 11 %

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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The comparative statement of financial position of Martinez Corporation as at December 31, 2023, follows: MARTINEZ CORPORATION Statement of Financial Position December 31 Assets Cash Accounts receivable Equipment Less: Accumulated depreciation Total Liabilities and Shareholders' Equity Accounts payable Common shares Retained earnings Total 2023 December 31 $54,000 90,000 27,300 (11.300) $160,000 $20,000 100,000 40,000 $160,000 2022 $6,200 88,800 21,100 (10,000) $106,100 $10,000 76,100 20,000 $106,100 Net income of $32,800 was reported and dividends of $12,800 were declared and paid in 2023. New equipment was purchased, and equipment with a carrying value of $4,800 (cost of $11,800 and accumulated depreciation of $7,000) was sold for $7,800.
Transcribed Image Text:The comparative statement of financial position of Martinez Corporation as at December 31, 2023, follows: MARTINEZ CORPORATION Statement of Financial Position December 31 Assets Cash Accounts receivable Equipment Less: Accumulated depreciation Total Liabilities and Shareholders' Equity Accounts payable Common shares Retained earnings Total 2023 December 31 $54,000 90,000 27,300 (11.300) $160,000 $20,000 100,000 40,000 $160,000 2022 $6,200 88,800 21,100 (10,000) $106,100 $10,000 76,100 20,000 $106,100 Net income of $32,800 was reported and dividends of $12,800 were declared and paid in 2023. New equipment was purchased, and equipment with a carrying value of $4,800 (cost of $11,800 and accumulated depreciation of $7,000) was sold for $7,800.
(a) Calculate the current ratio and debt to total assets ratio as at December 31, 2022 and 2023. Calculate the free cash flow for December 31, 2023. (Round answers to 2 decimal places, e.g. 52.75. Show amounts that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis eg. (15,000)) Current ratio Debt to total assets ratio Free cash flow, December 31, 2023 S 2023 :1 % 2022 :1 %
Transcribed Image Text:(a) Calculate the current ratio and debt to total assets ratio as at December 31, 2022 and 2023. Calculate the free cash flow for December 31, 2023. (Round answers to 2 decimal places, e.g. 52.75. Show amounts that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis eg. (15,000)) Current ratio Debt to total assets ratio Free cash flow, December 31, 2023 S 2023 :1 % 2022 :1 %
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