okincrencesAcrawSimon Company's year-end balance sheets follow.At December 31AssetsCashAccounts receivable, netMerchandise inventoryPrepaid expensesPlant assets, netTotal assetsLiabilities and EquityAccounts payableLong-term notes payableCommon stock, $10 par valueRetained earningsTotal liabilities and equityInterest expenseIncome tax expenseTotal costs and expensesNet incomeFinancial Statement Analysis AssignmentRequired 2A Required 20Current Year:1 Year Ago:The company's income statements for the Current Year and 1 Year Ago, follow.For Year Ended December 31SalesCost of goods soldOther operating expensesCompute accounts receivable turnoverCurrent Year$ 31, 20088,300112, 50010,650282,000$ 524,650$ 129,60096,500161,500137,050$ 524,650Net sales$$Numerator:Current YearComplete this question by entering your answers in the tabs below.$ 435,000224,75011,3009,500747,314589,724/Earnings per shareFor both the Current Year and 1 Year Ago, compute the following ratios:(2-a) Compute accounts receivable turnover.(2-b) For each ratio, determine if it improved or worsened in the current year.1 Year Ago$36,50062,50080, 2009,250258,500$446,950$72,250101,250161,500111,950$ 446,950$725,000Accounts Receivable TumoverDenominator:680.550$ 44,450$1.75Required 2ASavedAverage accounts receivable, not2 Years Ago$ 38,40049,00052,5004,800226,000$ 370,700$ 50,40081,800161,50077,000$ 370,700$377,000133,40013,2008,750Required 2B >1 Year Ago$ 580,000532,350$ 47,650$2.95Accounts Receivable TurnoverAccounts receivable tumover0 times0 times

Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise Inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 per value Retained earnings Total liabilities and equity Current Year $ 31,200 88,300 112,500 10,650 282,000 $ $24,650 $ 129,600 96,500 161,500 117,050 $ $24,650 Current Yeat $ 435,000 224,750 1 Year Ago $36,500 62,500 80,200 9,250 258,500 $ 446,950 11,300 9.500 $ 72,250 101,250 161,500 111,950 $446,950 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold other operating expenses $725,000 2 Years Ago $38,400 49,000 52,500 4,800 226,000 $370,700 Interest experise Income tax expense Total costs and expenses Net income Earnings por share For both the Current Year and 1 Year Ago, compute the following ratios: 680.550 $44,450 $ 3.75 $50,400 81,800 161,500 77,000 $ 370,700 A Year Ago $500,000 377,000 133,400 13,200 8,750 532,350 $ 47,650 $ 2.95

Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise Inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 per value Retained earnings Total liabilities and equity Current Year $ 31,200 88,300 112,500 10,650 282,000 $ $24,650 $ 129,600 96,500 161,500 117,050 $ $24,650 Current Yeat $ 435,000 224,750 1 Year Ago $36,500 62,500 80,200 9,250 258,500 $ 446,950 11,300 9.500 $ 72,250 101,250 161,500 111,950 $446,950 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold other operating expenses $725,000 2 Years Ago $38,400 49,000 52,500 4,800 226,000 $370,700 Interest experise Income tax expense Total costs and expenses Net income Earnings por share For both the Current Year and 1 Year Ago, compute the following ratios: 680.550 $44,450 $ 3.75 $50,400 81,800 161,500 77,000 $ 370,700 A Year Ago $500,000 377,000 133,400 13,200 8,750 532,350 $ 47,650 $ 2.95

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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Selected information from the comparative financial statements of AppleVerse Company for the year ended December 31 appears below: 2018 2017 Php Php Accounts receivable (net) 175,000 200,000 Inventory 130,000 150,000 Total assets 1,100,000 800,000 Current liabilities 140,000 110,000 Long-term debt 410,000 300,000 Net credit sales 800,000 700,000 Cost of goods sold 600,000 530.000 Interest expense 40.000 25,000 Income tax expense 60.000 29,000 Net income 150.000 85,000 Net cash provided by operating 220,000 135,000 activities Compute for the Receivables Turnover for 2018. O 2.13 O 4.27 O 5.95 O 3.23
ces Given the following information, complete the balance sheet shown next. Collection period Days' sales in cash Current ratio Inventory turnover Liabilities to assets Payables period Assets Current assets: Cash Accounts receivable Inventory Total current assets Net fixed assets Total assets (All sales are on credit. All calculations assume a 365-day year. The payables period is based on cost of goods sold.) Note: Round your answers to the nearest whole dollar. Liabilities and shareholders' equity Current liabilities: 71 days 33 days 2.2 times Accounts payable Short-term debt Total current liabilities Long-term debt Shareholders' equity Total liabilities and equity 5 65% 35 days $ $ 1,300,000 2,000,000 7,000,000
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Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Current Year 1 Year Ago 2 Years Ago $ 35,625 62,500 $ 37,800 50,200 $ 31,800 89,500 112,500 10,700 278,500 98,500 $ 523,000 $ 129,900 Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity 82,500 9,375 255,000 $ 445,000 $ 75,250 101,500 163,500 104,750 163,500 131,100 $ 523,000 $ 445,000 For both the current year and one year ago, compute the following ratios: 54,000 5,000 230,500 $ 377,500 $ 51,250 83,500 163,500 79,250 $ 377,500 1-a) Compute the current ratio for each of the three years. 1-b) Did the current ratio improve or worsen over the three-year period? 2-a) Compute the acid-test ratio for each of the three years. 2-b) Did the acid-test…
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Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Current Year $31,800 89,500 112,500 10,700 278,500 $523,000 $129,900 98,500 163,500 131,100 $523,000 1 Year Ago $35,625 62,500 82,500 9,375 255,000 $445,000 $75,250 101,500 2 Years Ago $37,800 50,200 54,000 5,000 230,500 $377,500 $51,250 83,500 163,500 163,500 104,750 79,250 $445,000 $377,500 Required: 1. Express the balance sheets in common-size percents. (Use cells A4 to D17 from the given information to complete this question.)
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ces Income statement Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income Income tax Net income Balance sheet Cash Accounts receivable (net) Inventory Property and equipment (net) Total assets Current liabilities (no interest) Long-term liabilities (interest rate: 12%) Common stock ($5 par value, 7,500 shares outstanding) Retained earnings Total liabilities and stockholders' equity Return on assets Total asset turnover Net profit margin % Year 2 % $ 220,000 119,500 100,500 59,000 41,500 11,000 $ 30,500 $7,000 15,500 43,000 49,500 $ 115,000 $ 17,500 46,500 37,500 Year 11 $ 174,500 103,000 71,500 54,500 17,000 5,500 $ 11,500 2. Compute return on assets, total asset turnover, and the net profit margin for Year 2. Note: Round your answers to 2 decimal places. $ 8,500 19,500 38,400 41,000 $ 107,400 $ 18,500 46,500 37,500 4,900 13,500 $ 115,000 $ 107,400
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