Current Position AnalysisThe following data were taken from the comparative balance sheet of Osborn Sisters Company for the years ended December 31, 20Y9 and December 31, 20Y8:Dec. 31, 20Y9Dec. 31, 20Y8$209,200229,100249,700CashTemporary investmentsAccounts and notes receivable (net)InventoriesPrepaid expensesTotal current assetsAccounts payableAccrued liabilitiesTotal current liabilitiesWorking capitalCurrent ratioCheck My Work20Y91,104,000 ✓3.3 ✓20Y8688,000$283,4002.6 ✔302,400278,200388,800a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.331,200$1,584,000$278,400201,600$480,000309,600120,400$1,118,000$301,000129,000$430,000PreviousNext > eBookAccounts payableAccrued liabilitiesTotal current liabilities.Working capitalCurrent ratioQuick ratioa. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.20Y9Feedback1,104,0003.3 ✔Show Me How Video-1.3 X20Y8688,0002.6 ✓-1.3 X$278,400201,600$480,000b. The liquidity of Osborn Sisters Company has improvedincreased$301,000129,000$430,000✔from 20Y8 to the 20Y9. The working capital, current ratio, and quick ratio have allV.✓. Most of these changes are the result of an increase in current assets

Working capital is the difference between total current assets and total current liabilities.…

Current Position Analysis The following data were taken from the comparative balance sheet of Osborn Sisters Company for the years ended December 31, 20Y9 and December 31, 20Y8: Dec. 31, 20Y9 Dec. 31, 20Y8 Cash Temporary investments Accounts and notes receivable (net) Inventories Prepaid expenses Total current assets Accounts payable Accrued liabilities Total current liabilities Working capital Current ratio Check My Work 20Y9 1,104,000 ✓ 3.3 ✓ 20Y8 688,000 $283,400 2.6 ✔ 302,400 278,200 388,800 331,200 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. $1,584,000 $278,400 201,600 $480,000 $209,200 229,100 249,700 309,600 120,400 $1,118,000 $301,000 129,000 $430,000 Previous Next >

Current Position Analysis The following data were taken from the comparative balance sheet of Osborn Sisters Company for the years ended December 31, 20Y9 and December 31, 20Y8: Dec. 31, 20Y9 Dec. 31, 20Y8 Cash Temporary investments Accounts and notes receivable (net) Inventories Prepaid expenses Total current assets Accounts payable Accrued liabilities Total current liabilities Working capital Current ratio Check My Work 20Y9 1,104,000 ✓ 3.3 ✓ 20Y8 688,000 $283,400 2.6 ✔ 302,400 278,200 388,800 331,200 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. $1,584,000 $278,400 201,600 $480,000 $209,200 229,100 249,700 309,600 120,400 $1,118,000 $301,000 129,000 $430,000 Previous Next >

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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Selected financial data for Wilmington Corporation is presented below. WILMINGTON CORPORATION Balance Sheet As of December 31 Year 7 Year 6 Current Assets Cash and cash equivalents $    634,527 $   335,597 Marketable securities 166,106 187,064 Accounts receivable (net) 284,226 318,010 Inventories 466,942 430,249 Prepaid expenses 60,906 28,060 Other current assets 83,053 85,029 Total Current Assets 1,695,760 1,384,009 Property, plant and equipment 1,384,217 625,421 Long-term investment 568,003 425,000 Total Assets $3,647,980 $2,434,430 Current Liabilities Short-term borrowings $   306,376 $    170,419 Current portion of long-term debt 155,000 168,000 Accounts payable 279,522 314,883 Accrued liabilities 301,024 183,681 Income taxes payable 107,509 196,802 Total Current Liabilities 1,149,431…
Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets:   Cash $329,800 $259,200   Marketable securities 381,900 291,600   Accounts and notes receivable (net) 156,300 97,200   Inventories 900,200 560,000   Prepaid expenses 463,800 358,000   Total current assets $2,232,000 $1,566,000 Current liabilities:   Accounts and notes payable   (short-term) $359,600 $378,000   Accrued liabilities 260,400 162,000   Total current liabilities $620,000 $540,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $fill in the blank 1 $fill in the blank 2 2. Current ratio fill in the blank 3 fill in the blank 4 3.…
Current Position Analysis The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Previous Year Current assets:   Cash $446,900 $372,400   Marketable securities 517,400 419,000   Accounts and notes receivable (net) 211,700 139,600   Inventories 1,071,800 807,000   Prepaid expenses 552,200 516,000   Total current assets $2,800,000 $2,254,000 Current liabilities:   Accounts and notes payable   (short-term) $324,800 $343,000   Accrued liabilities 235,200 147,000   Total current liabilities $560,000 $490,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $fill in the blank 1 $fill in the blank 2 2. Current ratio fill in the blank 3 fill in the blank…
Current Position Analysis The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $620,200 $495,600 Marketable securities 718,100 557,600 Accounts and notes receivable (net) 293,700 185,800 Inventories 314,200 179,900 Prepaid expenses 161,800 115,100 Total current assets $2,108,000 $1,534,000 Current liabilities: Accounts and notes payable (short-term) $394,400 $413,000 Accrued liabilities 285,600 177,000 Total current liabilities $680,000 $590,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $fill in the blank 1 $fill in the blank 2 2. Current ratio fill in the blank 3 fill in the blank 4…
Required: 1. Express all of the asset, liability, and sales data in trend percentages. Use Year 1 as the base year. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Sales Current assets: Cash Accounts receivable, net Inventory Total current assets Current liabilities Year 1 % % % % % % Year 2 % % % % % % Year 3 % % % % % % Year 4 % % % % % Year 5 % % % % %
Cunent POsition Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $426,400 $319,200 Marketable securities 493,700 359,100 Accounts and notes receivable (net) 201,900 119,700 Inventories 958,300 695,400 Prepaid expenses 493,700 444,600 Total current assets $2,574,000 $1,938,000 Current liabilities: Accounts and notes payable (short-term) $382,800 $399,000 Accrued liabilities 277,200 171,000 Total current liabilities $660,000 $570,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.
Current Position Analysis The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $486,400 $392,000 Marketable securities 563,200 441,000 Accounts and notes receivable (net) 230,400 147,000 Inventories 792,000 469,700 Prepaid expenses 408,000 300,300 Total current assets $2,480,000 $1,750,000 Current liabilities: Accounts and notes payable (short-term) $464,000 $490,000 Accrued liabilities 336,000 210,000 Total current liabilities $800,000 $700,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $fill in the blank 1 $fill in the blank 2 2. Current ratio fill in the blank 3 fill in the blank 4…
Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable. Common stock, $10 par value Retained earnings Total liabilities and equity Current Year $ 30,800 88,100 111,000 10,900 280,000 $ 520,800 $ 128,400 98,000 163,500 130,900 $ 520,800 Current Year 1 Year Ago $ 35,000 61,500 82,400 9,300 250,500 $ 438,700 $ 478,850 243,350 12,100 9,550 $73,750 101,750 163,500 99,700 $438,700 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses $785,000 Interest expense Income tax expense Total costs and expenses Net income Earnings per share For both the Current Year and 1 Year Ago, compute the following ratios: 743,850 $ 41,150 $ 2.52 2…
Fortune Corporation's comparative balance sheet showed noncash current assets and liabilities as follows: Dec. 31, Year 2 Dec. 31, Year 1 $7,639 $4,034 11,762 16,277 4,443 5,510 4,585 2,265 Accounts receivable Merchandise inventory Accounts payable Dividends payable Adjust Year 2 net income of $48,103 for changes in current operating assets and liabilities to arrive at net cash flows from operating activities using the indirect method.
The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Line Item Description Current Year Previous Year Current assets: Cash $445,700 $352,000 Marketable securities 516,100 396,000 Accounts and notes receivable (net) 211,200 132,000 Inventories 370,300 241,600 Prepaid expenses 190,700 154,400 Total current assets $1,734,000 $1,276,000 Current liabilities: Accounts and notes payable (short-term) $295,800 $308,000 Accrued liabilities 214,200 132,000 Total current liabilities $510,000 $440,000 a. Determine for each year the quick ratio. Round ratios to one decimal place.
Selected financial data for Wilmington Corporation is presented below. WILMINGTON CORPORATION Balance Sheet As of December 31 Year 7 Year 6 Current Assets Cash and cash equivalents $ 634,527 $ 335,597 Marketable securities 166,106 187,064 Accounts receivable (net) 284,226 318,010 Inventories 466,942 430,249 Prepaid expenses 60,906 28,060 Other current assets 83,053 85,029 Total Current Assets 1,695,760 1,384,009 Property, plant and equipment 1,384,217 625,421 Long-term investment 568,003 425,000 Total Assets $3,647,980 $2,434,430 Current Liabilities Short-term borrowings $ 306,376 $ 170,419 Current portion of long-term debt 155,000 168,000 Accounts payable 279,522 314,883 Accrued liabilities 301,024 183,681 Income taxes payable 107,509 196,802 Total Current Liabilities 1,149,431…