Some recent financial statements for Smolira Golf Corporation follow. Assets Current assets 2023 2024 Cash $ 24,226 $ 25,900 Accounts receivable Inventory 14,248 27,802 17,000 Notes payable 28,900 Other Total $ 66,276 $ 71,800 Total Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings Fixed assets Net plant and equipment $ 342,695 $ 364,200 Total SMOLIRA GOLF CORPORATION 2023 and 2024 Balance Sheets Liabilities and Owners' Equity Current liabilities Accounts payable 2023 $ 24,984 17,000 13,371 $ 55,355 $ 124,000 2024 $ 28,900 12,600 17,500 $ 59,000 $127,662 $ 60,000 189,338 $ 249,338 $ 60,000 169,616 $ 229,616 Total assets $ 408,971 $ 436,000 Total liabilities and owners' equity $ 408,971 $ 436,000 SMOLIRA GOLF CORPORATION 2024 Income Statement Sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes (23%) Net income $ 390,477 261,500 50,900 $ 78,077 16,100 $ 61,977 14,255 $ 47,722 Dividends Retained earnings $ 28,000 19,722 Find the following financial ratios for Smolira Golf Corporation (use year-end figures rather than average values where appropriate): Note: Enter the profitability ratio answers as a percent rounded to 2 decimal places, e.g., 32.16. Round the remaining answers to 2 decimal places, e.g., 32.16. Short-term solvency ratios: 2023 2024 a. Current ratio times times b. Quick ratio times times Cash ratio times times Asset utilization ratios: d. Total asset turnover times e. Inventory turnover times f. Receivables turnover times Long-term solvency ratios: 2023 2024 g. Total debt ratio times times h. Debt-equity ratio times times Equity multiplier times times Times interest earned times k. Cash coverage ratio times
Some recent financial statements for Smolira Golf Corporation follow. Assets Current assets 2023 2024 Cash $ 24,226 $ 25,900 Accounts receivable Inventory 14,248 27,802 17,000 Notes payable 28,900 Other Total $ 66,276 $ 71,800 Total Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings Fixed assets Net plant and equipment $ 342,695 $ 364,200 Total SMOLIRA GOLF CORPORATION 2023 and 2024 Balance Sheets Liabilities and Owners' Equity Current liabilities Accounts payable 2023 $ 24,984 17,000 13,371 $ 55,355 $ 124,000 2024 $ 28,900 12,600 17,500 $ 59,000 $127,662 $ 60,000 189,338 $ 249,338 $ 60,000 169,616 $ 229,616 Total assets $ 408,971 $ 436,000 Total liabilities and owners' equity $ 408,971 $ 436,000 SMOLIRA GOLF CORPORATION 2024 Income Statement Sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes (23%) Net income $ 390,477 261,500 50,900 $ 78,077 16,100 $ 61,977 14,255 $ 47,722 Dividends Retained earnings $ 28,000 19,722 Find the following financial ratios for Smolira Golf Corporation (use year-end figures rather than average values where appropriate): Note: Enter the profitability ratio answers as a percent rounded to 2 decimal places, e.g., 32.16. Round the remaining answers to 2 decimal places, e.g., 32.16. Short-term solvency ratios: 2023 2024 a. Current ratio times times b. Quick ratio times times Cash ratio times times Asset utilization ratios: d. Total asset turnover times e. Inventory turnover times f. Receivables turnover times Long-term solvency ratios: 2023 2024 g. Total debt ratio times times h. Debt-equity ratio times times Equity multiplier times times Times interest earned times k. Cash coverage ratio times
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question

Transcribed Image Text:Some recent financial statements for Smolira Golf Corporation follow.
Assets
Current assets
2023
2024
Cash
$ 24,226
$ 25,900
Accounts receivable
Inventory
14,248
27,802
17,000
Notes payable
28,900
Other
Total
$ 66,276
$ 71,800
Total
Long-term debt
Owners' equity
Common stock and paid-in surplus
Accumulated retained earnings
Fixed assets
Net plant and equipment
$ 342,695
$ 364,200
Total
SMOLIRA GOLF CORPORATION
2023 and 2024 Balance Sheets
Liabilities and Owners' Equity
Current liabilities
Accounts payable
2023
$ 24,984
17,000
13,371
$ 55,355
$ 124,000
2024
$ 28,900
12,600
17,500
$ 59,000
$127,662
$ 60,000
189,338
$ 249,338
$ 60,000
169,616
$ 229,616
Total assets
$ 408,971
$ 436,000
Total liabilities and owners' equity
$ 408,971
$ 436,000
SMOLIRA GOLF CORPORATION
2024 Income Statement
Sales
Cost of goods sold
Depreciation
Earnings before interest and taxes
Interest paid
Taxable income
Taxes (23%)
Net income
$ 390,477
261,500
50,900
$ 78,077
16,100
$ 61,977
14,255
$ 47,722
Dividends
Retained earnings
$ 28,000
19,722
Find the following financial ratios for Smolira Golf Corporation (use year-end figures rather than average values where appropriate):
Note: Enter the profitability ratio answers as a percent rounded to 2 decimal places, e.g., 32.16. Round the remaining answers to 2
decimal places, e.g., 32.16.
Short-term solvency ratios:
2023
2024
a. Current ratio
times
times
b. Quick ratio
times
times
Cash ratio
times
times
Asset utilization ratios:
d. Total asset turnover
times
e. Inventory turnover
times
f. Receivables turnover
times
Long-term solvency ratios:
2023
2024
g. Total debt ratio
times
times
h. Debt-equity ratio
times
times
Equity multiplier
times
times
Times interest earned
times
k. Cash coverage ratio
times
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