Long-Term Solvency Analysis The following information was taken from Combine Company's balance sheet: Fixed assets (net) $793,800 Long-term liabilities 294,000 Total liabilities 720,300 Total stockholders' equity 1,029,000 Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.
Long-Term Solvency Analysis The following information was taken from Combine Company's balance sheet: Fixed assets (net) $793,800 Long-term liabilities 294,000 Total liabilities 720,300 Total stockholders' equity 1,029,000 Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Long-Term Solvency Analysis
The following information was taken from Combine Company's
| Fixed assets (net) | $793,800 |
| Long-term liabilities | 294,000 |
| Total liabilities | 720,300 |
| Total |
1,029,000 |
Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.
Transcribed Image Text:Long-Term Solvency Analysis
The following information was taken from Combine Company's balance sheet:
Fixed assets (net)
Long-term liabilities
$793,800
294,000
Total liabilities
720,300
Total stockholders' equity
1,029,000
Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.
a. Ratio of fixed assets to long-term liabilities
b. Ratio of liabilities to stockholders' equity
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