Measures of liquidity, Salvency, and Profitability The comparative financial statements of Marshal Inc. ane as fallows. The markat price of Marshal comman stock was s 61 on December 31, 202. Comparative Balance Sheet Marshall Inc. December 31, 20Y2 and 20Y1 Comparative Retained Earnings Statement 20Y2 20Υ1 For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Assets tained earningk, lanuary 1 $3,089,050 S2,603,550 Current assets Net income 729,600 533,200 Cash $912.500 $815,990 Total S3,136,750 Marketable securities 1,381,080 1,352,220 Dividenda On prefemred stack S11,200 S11,200 Accounts receivable (net) 781,100 737,300 On common stock 36.500 36,500 Inventories 584,000 452,600 Total dividends $47,700 S47,700 Prepaid expenses 172,627 163,200 tained arnngs, December 31 $3.770,050 S3,089,050 Total current assets $3,831,307 $3,521,310 Long-term investments 1,386,498 972,249 Marshall Inc. . Comparative Income Statement Property, plant, and equipment (net) 4,550,000 4,095,000 For the Years Ended December 31, 20Y2 and 20Y1 Total assets $9,767,805 $8,588,559 20Y2 20Y1 Liabilities Sales $4,327,440 $3,987,130 Cost of goods sald 1,50.070 1,382820 Current liabilities $1,126,855 $2,199,509 Gros profe S2,824370 $2,604310 Long-term liabilities: Seling expenes S956,190 $1,190,400 Mortgage note payable, 8% $1,570,000 Adminstative expenes 814.540 699,130 Total operating xpenses S1,770,730 $1,8 30 Bonds payable, 8% 1,930,000 1,930,000 Income from operations S1,053.640 $714,780 Total long-term liabilities $3,500,000 $1,930,000 Other revena 55,460 45,620 Total liabilities $4,626,855 $4,129,509 $1,109,100 $760,400 Cther expense (interest) 280,000 Stockholders' Equity 154,400 Income before income tax S829,100 $606.000 Preferred $0.70 stock, $40 par $640,000 $640,000 Income tax epense 99,500 72,800 Common stock, $10 par 730,000 730,000 Nat income $729,600 $533,200 Retained earnings 3,770,950 3,089,050 Tatal sterlolde Lit CE 100.OEO
Measures of liquidity, Salvency, and Profitability The comparative financial statements of Marshal Inc. ane as fallows. The markat price of Marshal comman stock was s 61 on December 31, 202. Comparative Balance Sheet Marshall Inc. December 31, 20Y2 and 20Y1 Comparative Retained Earnings Statement 20Y2 20Υ1 For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Assets tained earningk, lanuary 1 $3,089,050 S2,603,550 Current assets Net income 729,600 533,200 Cash $912.500 $815,990 Total S3,136,750 Marketable securities 1,381,080 1,352,220 Dividenda On prefemred stack S11,200 S11,200 Accounts receivable (net) 781,100 737,300 On common stock 36.500 36,500 Inventories 584,000 452,600 Total dividends $47,700 S47,700 Prepaid expenses 172,627 163,200 tained arnngs, December 31 $3.770,050 S3,089,050 Total current assets $3,831,307 $3,521,310 Long-term investments 1,386,498 972,249 Marshall Inc. . Comparative Income Statement Property, plant, and equipment (net) 4,550,000 4,095,000 For the Years Ended December 31, 20Y2 and 20Y1 Total assets $9,767,805 $8,588,559 20Y2 20Y1 Liabilities Sales $4,327,440 $3,987,130 Cost of goods sald 1,50.070 1,382820 Current liabilities $1,126,855 $2,199,509 Gros profe S2,824370 $2,604310 Long-term liabilities: Seling expenes S956,190 $1,190,400 Mortgage note payable, 8% $1,570,000 Adminstative expenes 814.540 699,130 Total operating xpenses S1,770,730 $1,8 30 Bonds payable, 8% 1,930,000 1,930,000 Income from operations S1,053.640 $714,780 Total long-term liabilities $3,500,000 $1,930,000 Other revena 55,460 45,620 Total liabilities $4,626,855 $4,129,509 $1,109,100 $760,400 Cther expense (interest) 280,000 Stockholders' Equity 154,400 Income before income tax S829,100 $606.000 Preferred $0.70 stock, $40 par $640,000 $640,000 Income tax epense 99,500 72,800 Common stock, $10 par 730,000 730,000 Nat income $729,600 $533,200 Retained earnings 3,770,950 3,089,050 Tatal sterlolde Lit CE 100.OEO
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:Required:
Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, which should be rounded to the nearest cent. Use the rounded answer of the requirement for subsequent requirement, if
required. Assume 365 days a year. Fill out the chart.
Working capital
Current ratio
Quick ratio
Accounts receivable turnover
Number of days' sales in receivables
days
Inventory turnover
Number of days' sales in inventory
days
Ratio of fixed assets to long-term liabilities
Ratio of liabilities to stockholders' equity
Times interest earned
Asset turnover
Return on total assets
%
Return on stockholders' equity
%
Return on common stockholders' equity
Earnings per share on common stock
Price-earnings ratio
Dividends per share of common stock
Dividend yield
%
Transcribed Image Text:Marshall Inc.
Measures of liquidity, Salvency, and Prafitability
The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall common stock wii $ 61 on December 31, 20Y2.
Comparative Balance Sheet
Marshall in.
December 31, 20Y2 and 20Y1
Comparative Retained Earnings Statement
20Υ2
20Υ1
For the Years Ended December 31, 20Y2 and 20Y1
20Y2
20Y1
Assets
outained arnings, Janry 1
$3,089,050
$2,603,550
Current assets
Net income
729,600
533,200
Cash
$912,500
$815,990
Total
$3,818,650
$3,136,750
Marketable securities
1,381,080
1,352,220
Dividends:
On preferred stock
S11,200
$11,200
Accounts receivable (net)
781,100
737,300
On common stock
36,500
36,500
Inventories
584,000
452,600
Total dividends
$47,700
$47,700
Prepaid expenses
172,627
163,200
Rutained earngs, Decembir 31
$3,770,950
$3,080,050
Total current assets
$3,831,307
$3,521,310
Long-term investments
1,386,498
972,249
Marshall inc.
Comparative Income Statement
Property, plant, and equipment (net)
4,550,000
4,095,000
For the Years Ended December 31, 20Y2 and 20Y1
Total assets
$9,767,805
$8,588,559
20Y2
20Y1
Liabilities
Sales
$4,327,440
$3,987,130
Cost of goods sold
1,503,070
1,382,820
Current liabilities
$1,126,855
$2,199,509
Gross profe
$2,824,370
$2,604,310
Long-term liabilities:
Seling expenses
s056.190
$1,190,400
Mortgage note payable, 8%
$1,570,000
s0
Administrative expenses
814,540
699.130
Total operating expenses
$1,770.730
Bonds payable, 8%
1,930,000
1,930,000
$1.889.530
Income from operations
$1,053,640
$714,780
Total long-term liabilities
$3,500,000
$1,930,000
Cther revanu
55,460
45,620
Total liabilities
$4,626,855
$4,129,509
$1,109,100
$760,400
Cter expense (interest)
280,000
154,400
Stockholders' Equity
Income before income tax
$829,100
$606,000
Preferred $0.70 stock, $40 par
$640,000
$640,000
Income tan xpense
99,500
72,800
Common stock, $10 par
730,000
730,000
Net income
$729,600
$533,200
Retained earnings
3,770,950
3,089,050
Total stockholders' equity
$5,140,950
$4,459,050
Total liabilities and stockholders' equity
$9,767,805
$8,588,559
Expert Solution
Step by step
Solved in 9 steps
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.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education