Given the information above, give the following ratios,a.) acid test Ratiob.) working capitalc.) Receivable turnoverd.) Average collector period Presented below is the unadjusted trial balance of the Bruce Companyfor the year ended Dec. 31, 2021:Bruce CompanyUnadjusted Trial BalanceDecember 31, 2021Cash45,000Notes Receivable360,000InventoryOffice Supplies156,00063,000Land300,000Building1,590,000Accumulated Depreciation - BuildingP 254,000Equipment2,150,000Accumulated Depreciation - Equipment612,000Accounts Payable213,000Unearned Consulting Revenue450,000Bruce, Capital, 1/1/20212,655,000Bruce, Withdrawal600,000Consulting Revenues2,108,000Salaries Expense875,000Repairs ExpenseMiscellaneous Expense116,00037,000P 6,292,000TotalsP6,292,000 Bruce CompanyAdjusted Trial BalanceDecember 31, 2020CashP60,000Notes Receivable250,000Office Supplies48,000Land300,000Building1,590,000Accumulated Depreciation - BuildingP 216,000EquipmentAccumulated Depreciation - EquipmentAccounts PayableTax Payable2,150,000489,000550,00040,000Bruce, Capital, 1/1/2020Bruce, Withdrawal2,537,000500,000Consulting Revenues1,548,000Salaries Expense400,000Advertising ExpenseMiscellaneous Expense50,00032,000P5,380,000P5,380,000

Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or…

Answered: Given the information above, give the…

Given the information above, give the following ratios, a.) acid test Ratio b.) working capital c.) Receivable turnover d.) Average collector period

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 5MCQ: Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at...

See similar textbooks

Related questions

Q: Explain the major financial ratios and financial cycles, debt ratio, debt to equity ratio, return on…

A: The below ratios are computed using the 2016 financial statements of Walmart Company.

Q: Explain the following Investment ratios and indicate how they are computed: Earnings per share (EPS)…

A: Earnings per share (EPS) is ascertained as the benefit of an organization divided by outstanding…

Q: Which of the following ratios measures short-term solvency? a. Current ratio b.…

A: Ratio analysis: It is the financial analysis tool for measuring the profitability, liquidity,…

Q: How is the receivables turnover ratio measured? What does this ratio indicate? Is a higher or lower…

A: Receivables turnover ratio is measured by dividing net credit sales of a period by average accounts…

Q: Which of the following is a Profitability Ratio a. Proprietary Ratio b. Debt-Equity Ratio c.…

A: The profitability ratio determines the ability of an entity to generate profits as a result of…

Q: What is the purpose of calculating a set of financial ratios?

A: Financial Ratios: Financial ratios are the metrics used to evaluate the liquidity, capabilities,…

Q: 1. Using the following information detailed below, calculate the percentage of equity contribution…

A: Equity, in the financial context, signifies ownership in a company and is the residual interest in…

Q: A common measure of liquidity is a.the asset turnover ratio b.the accounts receivable turnover…

A: Assets turnover ratio means how many times sale is , as compared to average assets. Account…

Q: which of the following comes first in the income statement O a. finance cost O b. gross profit O C.…

A: Income statement is one of financial statement being prepared in business. It shows all incomes and…

Q: Which of the following ratios is used by the company to determine its ability to pay currently…

A: A business organisation is treated as short term solvent if it is in a position to pay currently…

Question

100%

Given the information above, give the following ratios, a.) acid test Ratio b.) working capital c.) Receivable turnover d.) Average collector period

Presented below is the unadjusted trial balance of the Bruce Company
for the year ended Dec. 31, 2021:
Bruce Company
Unadjusted Trial Balance
December 31, 2021
Cash
45,000
Notes Receivable
360,000
Inventory
Office Supplies
156,000
63,000
Land
300,000
Building
1,590,000
Accumulated Depreciation - Building
P 254,000
Equipment
2,150,000
Accumulated Depreciation - Equipment
612,000
Accounts Payable
213,000
Unearned Consulting Revenue
450,000
Bruce, Capital, 1/1/2021
2,655,000
Bruce, Withdrawal
600,000
Consulting Revenues
2,108,000
Salaries Expense
875,000
Repairs Expense
Miscellaneous Expense
116,000
37,000
P 6,292,000
Totals
P6,292,000

Bruce Company
Adjusted Trial Balance
December 31, 2020
Cash
P
60,000
Notes Receivable
250,000
Office Supplies
48,000
Land
300,000
Building
1,590,000
Accumulated Depreciation - Building
P 216,000
Equipment
Accumulated Depreciation - Equipment
Accounts Payable
Tax Payable
2,150,000
489,000
550,000
40,000
Bruce, Capital, 1/1/2020
Bruce, Withdrawal
2,537,000
500,000
Consulting Revenues
1,548,000
Salaries Expense
400,000
Advertising Expense
Miscellaneous Expense
50,000
32,000
P5,380,000
P5,380,000

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Explanation -

VIEW

Solution -

VIEW

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Please help
Cop
The T-accounts for Equipment and the related Accumulated Depreciation—Equipment for Luo Company at the end of 2020 are shown here. Equipment Beg. bal. 79,200 Disposals 20,700 Acquisitions 44,800 End. bal. 103,300 Accumulated Depreciation—Equipment Disposals 8,700 Beg. bal. 43,600 Depr. exp. 14,300 End. bal. 49,200 In addition, Luo’s income statement reported a loss on the disposal of plant assets of $6,000. What amount was reported on the statement of cash flows as “cash flow from sale of equipment”? (Show amount that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) Cash flow from sale of equipment $
The following is a statement of earned surplus prepared by the company for 2021: Balance, 1/1669.1 Additions: orldwisecriou Change in estimate of 2021 bo amortization expense Gain on sale of land Interest income Profit for 2021 Total N Abse Deductions: Increased depreciation due to change in estimated life played at tan Dividends declared and paid tga ol Loss on sale of equipment Loss from major casualtyd betet Balance, 12/31 P 2,800 18,350 4,500 13,680 a. P7,260 loss b. P5,060 loss C. P4,940 profit d. P2,740 profit P 85,949 P 5,000 10,000 3,860 27,730 39,330 125,279 46,590 P 78,689 The adjusted profit or loss that should be reported in the company's income statement for the year ended Dec. 31, 2021 is 2995100225 16 31010-2012
Provide the 2020 adjusting journal entry (both accounts and amounts) that Newell Brands made to record amortization on its finite-lived Intangible Assets. Assume that Newell Brands makes one adjusting journal entry for amortization expense at the end of each fiscal year as part of its adjusting entries
Compute for the amount presented as noncash Assets in the balance sheet on December 31, 2020 using the transactions below
Hh1.
Larkspur Limited had the following statement of financial position for the current year, 2023: Current assets Investments Property, plant, and equipment Intangible assets Other assets 1. 2. 3. 4. 5. 6. LARKSPUR LIMITED Statement of Financial Position December 31, 2023 7. 8. $109,060 70,520 173,840 The following additional information is available and provides information regarding errors in classification which need to be corrected: 26,240 31,160 $410,820 Current liabilities Long-term liabilities Shareholders' equity $79,540 139,400 191,880 $410,820 Current Assets include the following: bank account with an overdraft balance of $12,300; inventory with a FIFO cost of $71,340 and a net realizable value of $69,700; accounts receivable of $54,120 less allowance for expected credit losses of $2,460. Investments include the following: a mortgage receivable from parent company $49,200, due in 2028; FV-NI investments held for trading with a cost of $8,200 and a fair value of $9,840; FV-OCI…
The following accounts and their balances appear in an unadjusted trial balance of Lechon Company as of December 31, 2023: · Cash and cash equivalents- P400,000 · Trade and other receivables- P2,000,000 · Inventory- P500,000 · Subscription receivable- P375,000· Trade and other payables- P670,000 · Income tax payable- P196,500Additional information: · Trade and other receivables include long term advances to company officers amounting to P430,000. · The subscription receivable has the following call dates: June 30,2024- P200,000; December 31, 2024- P100,000; and June 30, 2025- P75,000. · Inventory of P 500,000 was determined by physical count. On December 31, 2023, goods costing P 125,000 are in transit from a supplier. Terms of purchase of said goods is FOB shipping point. The goods and the related invoice have not been received as of the year end. · Trade and other payables include dividends payable amounting to…
An SME provided the following on December 31, 2022: Cash Accounts receivable Prepayments Inventories Investment in associate Property, plant and equipment Accumulated depreciation and impairment Software - net of amortization and impairment Deferred tax asset Bank overdraft Bank loan, fully payable in 2022 and prepayable without penalty Trade payables Interest payable Current tax liability Provision for warranty. Employee benefit obligation, current portion, P4,000 Finance lease liability, current portion, P20,000 Share capital Retained earnings 5. What is the total amount of current assets? A. 675,000 B. 615,000 C. 785,000 D. 725,000 6. What is the total amount of current liabilities? A. 810,000 B. 860,000 C. 786,000 D. 806,000 7. What is the total shareholders' equity? A. 2,460,000 B. 2,400,000 C. 2,430,000 D. 2,700,000 25,000 530,000 60,000 60,000 110,000 3,250,000 700,000 10,000 5,000 80,000 50,000 430,000 2,000 270,000 4,000 10,000 44,000 30,000 2,430,000
The following are selected account balances from Penske Company and Stanza Corporation as of December 31, 2024: Revenues Accounts Cost of goods sold Depreciation expense Investment income Dividends declared Retained earnings, 1/1/24 Current assets Copyrights Royalty agreements Penske $ (812,000) 289,200 223,000 Not given 80,000 (708,000) 448,000. 978,000 626,000 Stanza $ (680,000) 170,000 204,000 0 60,000 (270,000) 632,000 378,500 Investment in Stanza Liabilities Common stock Additional paid-in capital 1,048,000 Not given (506,000) 0 (1,262,500) (600,000) ($20 par) (150,000) (200,000) ($10 par) (80,000) Note: Parentheses indicate a credit balance. On January 1, 2024, Penske acquired all of Stanza's outstanding stock for $762,000 fair value in cash and common stock. Penske also paid $10,000 in stock issuance costs. At the date of acquisition, copyrights (with a six-year remaining life) have a $466,000 book value but a fair value of $622,000. Required: a. As of December 31, 2024, what is…
Subject:- Account On 1 January 2019 the carrying value of equipment was R19 720 (cost price, R25 670 and accumulated depreciation, R5 950). On 1 January 2019 equipment costing R5 670 was purchased (not included in the R25 670). The depreciation policy is to provide for depreciation, on all equipment held at year-end, at 25% per annum on the diminishing-balance method. Prepare the PPE note..