Graffiti Advertising, Incorporated, reported the following financial statements for the last two years. Sales Costs of goods sold Selling & administrative Depreciation EBIT Interest 2022 Income Statement EBT Taxes Net income Dividends Addition to retained earnings Cash Accounts receivable Inventory Current assets Net fixed assets Total assets Cash Accounts receivable Inventory Current assets. Net fixed assets $565,700 274,020 124,732 54,575 $ 112,373 19,318 $93,055 37,222 $55,833 $9,700 46,133 GRAFFITI ADVERTISING, INCORPORATED Balance Sheet as of December 31, 2021 $ 13,330 Accounts payable Notes payable 18,993 13,795 Current liabilities $ 46,118 Long-term debt $ 344,456 Owners equity $ 390,574 Total liabilities and owners' equity GRAFFITI ADVERTISING, INCORPORATED Balance Sheet as of December 31, 2022 $ 14,316 Accounts payable 21,098 22,755 $ 58,169 Long-term debt $ 406,310 Owners equity 470 Notes payable Current liabilities. $ 9,503 14,507 $ 24,010 $ 136,720 $ 229,844 $ 390,574 $ 10,513 16,467 $ 26,980 $152,100. $285,399 it

Graffiti Advertising, Incorporated, reported the following financial statements for the last two years. Sales Costs of goods sold Selling & administrative Depreciation EBIT Interest 2022 Income Statement EBT Taxes Net income Dividends Addition to retained earnings Cash Accounts receivable Inventory Current assets Net fixed assets Total assets Cash Accounts receivable Inventory Current assets. Net fixed assets $565,700 274,020 124,732 54,575 $ 112,373 19,318 $93,055 37,222 $55,833 $9,700 46,133 GRAFFITI ADVERTISING, INCORPORATED Balance Sheet as of December 31, 2021 $ 13,330 Accounts payable Notes payable 18,993 13,795 Current liabilities $ 46,118 Long-term debt $ 344,456 Owners equity $ 390,574 Total liabilities and owners' equity GRAFFITI ADVERTISING, INCORPORATED Balance Sheet as of December 31, 2022 $ 14,316 Accounts payable 21,098 22,755 $ 58,169 Long-term debt $ 406,310 Owners equity 470 Notes payable Current liabilities. $ 9,503 14,507 $ 24,010 $ 136,720 $ 229,844 $ 390,574 $ 10,513 16,467 $ 26,980 $152,100. $285,399 it

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Required: Note: Round answers to two decimal places. 1. Calculate the times-interest-earned ratio. 2. Calculate the debt ratio. 3. Calculate the debt-to-equity ratio.
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Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Refer to the information for Juroe Company on the previous page. Also, assume that Juroes total assets at the beginning of last year equaled 17,350,000 and that the tax rate applicable to Juroe is 40%. Required: Note: Round answers to two decimal places. 1. Calculate the average total assets. 2. Calculate the return on assets.
Use the below information to answer the following question. Sales Cost of goods sold Depreciation Income Statement For the Year Taxable income Taxes Earnings before interest $4,500 and taxes Interest paid Net income Dividends $900 Balance Sheet End-of-Year Cash Accounts receivable Inventory Total current assets Net fixed assets Total assets Accounts payable Long-term debt Common stock ($1 par value) Retained earnings O O O O Total Liab. & Equity 33 percent 40 percent 50 percent $28,400 60 percent 21,200 2,700 67 percent 850 $3,650 1,400 $2,250 $550 2,450 4,700 $7,700 What was the retention ratio? 16,900 $24,600 $ 2,700 9,800 8,000 4,100 $24,600
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s The 2021 income statement of Adrian Express reports sales of $22,110,000, cost of goods sold of $12,950,000, and net income of $2,260,000. Balance sheet information is provided in the following table. Assets Current assets: Cash Accounts receivable Inventory Long-term assets Total assets Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Common stock Retained earnings Total liabilities and stockholders' equity Gross profit ratio Return on assets ADRIAN EXPRESS Balance Sheets December 31, 2021 and 2020 Profit margin Asset turnover Return on equity Profitability Ratios Industry averages for the following profitability ratios are as follows: Gross profit ratio Mes % $ 45% 25% 15% 15.5 times. 35% 2021 2020 980,000 1,950,000 2,490,000 5,180,000 4,480,000 $10,600,000 $8,640,000 $1,000,000 1,310,000 1,850,000 Required: 1. Calculate the five profitability ratios listed above for Adrian Express. (Round your answers to 1 decimal place.) $ 2,228,000 $1,928,000…
The following are the comparative financial statements for Outland Corporation for 2020 and 2019: OUTLAND CORPORATION Statement of Income For Periods Ending October 31 Sales Revenue Cost of Goods Sold Gross Profit.. 2020 167,500 100,000 67,500 2019 140,000 85,000 55,000 Expenses Depreciation Selling and Administrative Interest Expense. Total Expenses. 15,000 22,500 15,000 15,000 47,500 35,000 Net Income (before taxes). Income Taxes 25,000 10,000 15,000 22,500 7,500 15,000 Net Income OUTLAND CORPORATION Statement of Financial Position As at October 31 2020 2019 Assets Current Assets: 4,000 10,000 35,000 31,000 80,000 Cash. 2,500 7,500 30,000 25,000 65,000 Marketable Securities. Accounts Receivable. Inventory Total Current Assets Investments (at cost).. 30,000 32,500 Property, plant and equipment Property, Plant and Equipment.. Less: Accumulated Depreciation. 200,000 87,500 112,500 2,500 225,000 190,000 80,000 110,000 2,500 210,000 Goodwill Total Assets Liabilities and Shareholders'…
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