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Need all 11 required answers to the questions, thank you so much! very important assignment so dont worry about the time it takes.

Need all 11 required answers to the questions, thank you so much! very important assignment so dont worry about the time it takes.

FINANCIAL ACCOUNTING
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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Need all 11 required answers to the questions, thank you so much! very important assignment so dont worry about the time it takes.

**Educational Content: Financial Ratios** **Objective:** Compute the following financial ratios: 1. Current ratio 2. Acid-test ratio 3. Days’ sales uncollected 4. Inventory turnover 5. Days’ sales in inventory 6. Debt-to-equity ratio 7. Times interest earned 8. Profit margin ratio 9. Total asset turnover 10. Return on total assets 11. Return on equity **Instructions:** Do not round intermediate calculations. --- **Task: Compute the Current Ratio and Acid-Test Ratio** **Current Ratio:** - **Numerator:** Current Assets - **Denominator:** Current Liabilities \[ \text{Current Ratio} = \frac{\text{Current Assets}}{\text{Current Liabilities}} = \frac{\$100,900}{\$26,200} = 3.9 \text{ to 1} \] **Acid-Test Ratio:** - **Numerator:** (Typically, Cash, Receivables, Marketable Securities) - **Denominator:** Current Liabilities \[ \text{Acid-Test Ratio} = \frac{\text{Acid-Test Assets}}{\text{Current Liabilities}} = 0 \text{ to 1} \] - **Note:** Acid-Test Ratio calculations here are not detailed. Typically, this ratio involves quick assets (excluding inventory) divided by current liabilities, providing a stringent measure of liquidity. These tables guide you through the necessary components for each ratio, helping in assessing a company’s financial health efficiently. Complete the calculations across the provided tabs for comprehensive analysis. --- **Tabs:** Req 1 and 2, Req 3, Req 4, ..., Req 11 --- Tailor these calculations to analyze balance sheets and assess company liquidity and financial performance.
Transcribed Image Text:**Educational Content: Financial Ratios** **Objective:** Compute the following financial ratios: 1. Current ratio 2. Acid-test ratio 3. Days’ sales uncollected 4. Inventory turnover 5. Days’ sales in inventory 6. Debt-to-equity ratio 7. Times interest earned 8. Profit margin ratio 9. Total asset turnover 10. Return on total assets 11. Return on equity **Instructions:** Do not round intermediate calculations. --- **Task: Compute the Current Ratio and Acid-Test Ratio** **Current Ratio:** - **Numerator:** Current Assets - **Denominator:** Current Liabilities \[ \text{Current Ratio} = \frac{\text{Current Assets}}{\text{Current Liabilities}} = \frac{\$100,900}{\$26,200} = 3.9 \text{ to 1} \] **Acid-Test Ratio:** - **Numerator:** (Typically, Cash, Receivables, Marketable Securities) - **Denominator:** Current Liabilities \[ \text{Acid-Test Ratio} = \frac{\text{Acid-Test Assets}}{\text{Current Liabilities}} = 0 \text{ to 1} \] - **Note:** Acid-Test Ratio calculations here are not detailed. Typically, this ratio involves quick assets (excluding inventory) divided by current liabilities, providing a stringent measure of liquidity. These tables guide you through the necessary components for each ratio, helping in assessing a company’s financial health efficiently. Complete the calculations across the provided tabs for comprehensive analysis. --- **Tabs:** Req 1 and 2, Req 3, Req 4, ..., Req 11 --- Tailor these calculations to analyze balance sheets and assess company liquidity and financial performance.
### Cabot Corporation Financial Statements Overview Welcome to the financial information section of Cabot Corporation. Below you'll find selected financial data for the current year ending December 31st, highlighting crucial aspects of the company's Balance Sheet and Income Statement. #### Balance Sheet (December 31 of Current Year) **Assets:** - Cash: $8,000 - Short-term investments: $8,800 - Accounts receivable, net: $31,200 - Merchandise inventory: $32,150 - Prepaid expenses: $3,100 - Plant assets, net: $152,300 **Total Assets: $235,550** **Liabilities and Equity:** - Accounts payable: $17,500 - Accrued wages payable: $3,400 - Income taxes payable: $4,400 - Long-term note payable, secured by mortgage on plant assets: $65,400 - Common stock: $87,000 - Retained earnings: $57,850 **Total Liabilities and Equity: $235,550** #### Income Statement (For Current Year Ended December 31) - **Sales:** $455,600 - **Cost of Goods Sold:** $297,050 - **Gross Profit:** $158,550 *Subtracting operating expenses from gross profit gives a clearer picture of net profit.* - **Operating Expenses:** $99,000 - **Income Before Taxes:** $54,650 *Interest and tax expenses impact the net income.* - **Interest Expense:** $4,900 - **Income Tax Expense:** $22,015 - **Net Income:** $32,635 This data provides a succinct overview of the financial health and operational results of Cabot Corporation for the year, useful for stakeholders, investors, and educators in analyzing corporate performance.
Transcribed Image Text:### Cabot Corporation Financial Statements Overview Welcome to the financial information section of Cabot Corporation. Below you'll find selected financial data for the current year ending December 31st, highlighting crucial aspects of the company's Balance Sheet and Income Statement. #### Balance Sheet (December 31 of Current Year) **Assets:** - Cash: $8,000 - Short-term investments: $8,800 - Accounts receivable, net: $31,200 - Merchandise inventory: $32,150 - Prepaid expenses: $3,100 - Plant assets, net: $152,300 **Total Assets: $235,550** **Liabilities and Equity:** - Accounts payable: $17,500 - Accrued wages payable: $3,400 - Income taxes payable: $4,400 - Long-term note payable, secured by mortgage on plant assets: $65,400 - Common stock: $87,000 - Retained earnings: $57,850 **Total Liabilities and Equity: $235,550** #### Income Statement (For Current Year Ended December 31) - **Sales:** $455,600 - **Cost of Goods Sold:** $297,050 - **Gross Profit:** $158,550 *Subtracting operating expenses from gross profit gives a clearer picture of net profit.* - **Operating Expenses:** $99,000 - **Income Before Taxes:** $54,650 *Interest and tax expenses impact the net income.* - **Interest Expense:** $4,900 - **Income Tax Expense:** $22,015 - **Net Income:** $32,635 This data provides a succinct overview of the financial health and operational results of Cabot Corporation for the year, useful for stakeholders, investors, and educators in analyzing corporate performance.
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