Smythe Banners reported the following figures in itsfinancial statements:Cash $ 26,500Cash Equivalents 5,000Total Current Liabilities 30,000Compute the cash ratio for Smythe Banners

Step 1: We know that, Cash ratio=Total current liabilitiesCash+Cash equivalent Cash…

Answered: Smythe Banners reported the following…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Bob's balance sheet reflects the following information: Cash 750,000 Accounts Receivable 150,000 Inventory 450,000 Plant and Equipment 1,235,000 If Mark used these values to create a common-size balance sheet, which of the following would you expect to see as the cash line item? (A) 32% (B) 47% (C) 29% (D) 55.5%
Statement of Financial Position Cash 10,000 Accounts payable $15,000 Accounts receivable 70,548 Notes payable 35,548 Inventory 20,000 Current liabilities $50,548 Current assets $100,548 Long-term debt 200,000 Fixed assets 500,000 Equity $350,000 Total assets $600,548 Total liabilities & equity $600,548 Questions: What are the three components of a credit policy? Does the company’s current credit policy satisfy these three components? What are the effective annual costs for the two proposed credit policy alternatives? If the average borrowing rate for the company’s customers is 15%, will these credit policies be attractive to these customers?
Use the following information about Ferron Company to prepare a complete statement of cash flows (direct method) for the current year ended December 31. Use a note disclosure for any noncash investing and financing activities. Cash and cash equivalents, P5 Dec. 31 prior year-end $ 40,000 Cash and cash equivalents, Dec. 31 current year-end 148,000 Cash received as interest 3,500 Cash paid for salaries 76,500 Bonds payable retired by issuing common stock (no gain or loss on retirement) . 185,500 Cash paid to retire long-term notes payable . 100,000 Cash received from sale of equipment . 60,250 Cash received in exchange for six-month note payable $ 35,000 Land purchased by issuing long-term note payable 105,250 Cash paid for store equipment 24,750 Cash dividends paid . 10,000 Cash paid for other expenses 20,000 Cash received from customers 495,000 Cash paid for inventory 254,500
.
Presented below is information available for Marley Company. Current Assets Cash $ 4,000 Short-term investments 55,000 Accounts receivable 51,000 Inventory 110,000 Prepaid expenses 30,000 Total current assets $250,000 Total current liabilities are $100,000. The acid-test ratio for Marley is: 2.20 to 1 2.50 to 1 1.30 to 1 1.10 to 1
a corporation reported cash of 15,200 and total assets of 179,500 on its balance sheet its common size percent for cash equals 8.47% 20.44% 13.97% 11.81% 6.47%
Statement of cash flows for the following: The comparative balance sheet of Livers Inc. for December 31, 20Y3 and 20Y2, is shown as follows: 1 Dec. 31, 20Y3 Dec. 31, 20Y2 2 Assets 3 Cash $155,000.00 $150,000.00 4 Accounts receivable (net) 450,000.00 400,000.00 5 Inventories 770,000.00 750,000.00 6 Investments 0.00 100,000.00 7 Land 500,000.00 0.00 8 Equipment 1,400,000.00 1,200,000.00 9 Accumulated depreciation-equipment (600,000.00) (500,000.00) 10 Total assets $2,675,000.00 $2,100,000.00 11 Liabilities and Stockholders’ Equity 12 Accounts payable (merchandise creditors) $340,000.00 $300,000.00 13 Accrued expenses payable (operating expenses) 45,000.00 50,000.00 14 Dividends payable 30,000.00 25,000.00 15 Common stock, $4 par 700,000.00 600,000.00 16 Paid-in capital in excess of par—common stock 200,000.00…
Financing Activities on the Statement of Cash Flows Cosmat Inc. reported net income of $128,000 for 20Y9. The liability and equity accounts from the company’s comparative balance sheet are as follows: Dec. 31, 20Y9 Dec. 31, 20Y8 Accounts payable $57,920 $53,810 Dividends payable 20,000 16,000 Bonds payable 290,000 450,000 Common stock, $10 par value 180,000 120,000 Paid-in capital in excess of par—common stock 328,000 232,000 Retained earnings 488,000 375,000 During the year, the company retired bonds payable at their face amount, declared dividends of $15,000, and issued 6,000 shares of common stock for $26 per share. Prepare the Cash Flows from (used for) Financing Activities section of the statement of cash flows. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Cosmat Inc.Statement of Cash Flows (partial) Cash flows from (used for)…
The following items appeared on the financial statements of Washington Company. Line Item Description Amount Accounts receivable, January 1 $13,084 Accounts receivable, December 31 6,949 Accounts payable, January 1 5,909 Accounts payable, December 31 9,591 Inventory, January 1 8,120 Inventory, December 31 16,988 Sales 64,741 Cost of goods sold 32,521 Washington Company uses the direct method to report cash flows from (used for) operating activities. Assume that all accounts payable are owed to merchandise suppliers Cash received from customers during the year is
Connor Company reported operating expenses of $325,000 for 20X2. The following data were extracted from the company’s financial records: 12/31/X1 12/31/X2 Prepaid Expenses $60,000 $79,000 Accrued Expenses 210,000 165,000On a statement of cash flows for 20X2, using the direct method, cash payments for operating expenses should be Question 8 options: $489,000. $361,000. $399,000. $451,000. Keyes Corporation had net income for 20X1 of $1,400,000. Additional information is as follows: Depreciation of plant assets $1,000,000 Gain on sale of equipment 200,000 Increase in accounts receivable 300,000 Decrease in accounts payable 500,000Lohan's net cash provided by operating activities for 2017 was Question 3 options: $2,400,000.…
Please show working.
Sikat Company provided the following data for the current year for the preparation of statement of cash flows using direct method Cash balance, beg 2,000,000 Cash paid to purchase inventory 8,000,000 Cash received from sale of trading securities 3,000,000 Cash paid for interest 950,000 Cash paid to repay loan 1,500,000 Cash collected from customers 10,500,000 Cash received from issuance of ordinary shares 1,700,000 Cash paid for dividend 2,500,000 Cash paid for income taxes 1,850,000 Cash paid to purchase trading securities 1,500,000 Net cash provided by operating activities is?

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

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,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

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

SEE MORE TEXTBOOKS

Smythe Banners reported the following figures in its financial statements: Cash $ 26,500 Cash Equivalents 5,000 Total Current Liabilities 30,000 Compute the cash ratio for Smythe Banners