sing Ratios to Determine Account Balance.We are givem the following information for Cathy Corporation Sales(credit) . 3,000,000 Cash 150,000 Inventory 850,000
Using Ratios to Determine Account Balance.We are givem the following information for Cathy Corporation
Sales(credit) . 3,000,000
Cash 150,000
Inventory 850,000
Current liabilities 700,000
Asset turnover 1.25 times
Current ratio 2.50 times
Debt-to assets ratio 40%
Receivable turnover 6 times
Current assets are composed of cash, marketable securities, accounts receivable and inventory.
a.Calculate the amount receivable
b.Calculate the marketable securities
c.Calculate the fixed assets
d.Calculate the long term debt
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how do i get the total assets from this information? i'm a little stuck on that part. how did it go from 3,000,000 to 2,400,000? i'm not sure which calculation i need to do in order to figure that out. my question would be:
1.40 = 3,549,000 | total assets
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