Successfully signed in as vipulkumarmakwana8801. X Stock $14,000, debtors $20,000, creditors $20,000, beginning balance of retained earnings $18,000, administration and selling expense $20,000, 10% dividend on equity capital $3,000. The following ratios are also given: Stock turnover: 5 times Current ratio: 2:1 Debtors collection period: 73 days Outstanding expenses: 15% of creditors Ratio of net profit after tax to net tangible assets is 1:10 Rate of income tax: 5% The ratio of fixed assets to paid-up capital is 9:10 The total assets of the firm are: 0 $70,000 11 12 $73,000 13 14 $78,000 15 16 $75,000
Successfully signed in as vipulkumarmakwana8801. X Stock $14,000, debtors $20,000, creditors $20,000, beginning balance of retained earnings $18,000, administration and selling expense $20,000, 10% dividend on equity capital $3,000. The following ratios are also given: Stock turnover: 5 times Current ratio: 2:1 Debtors collection period: 73 days Outstanding expenses: 15% of creditors Ratio of net profit after tax to net tangible assets is 1:10 Rate of income tax: 5% The ratio of fixed assets to paid-up capital is 9:10 The total assets of the firm are: 0 $70,000 11 12 $73,000 13 14 $78,000 15 16 $75,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Successfully signed in as vipulkumarmakwana8801.
X
Stock $14,000, debtors $20,000, creditors $20,000, beginning balance of retained earnings $18,000, administration and selling expense $20,000, 10% dividend on equity capital $3,000.
The following ratios are also given:
Stock turnover: 5 times
Current ratio: 2:1
Debtors collection period: 73 days
Outstanding expenses: 15% of creditors
Ratio of net profit after tax to net tangible assets is 1:10
Rate of income tax: 5%
The ratio of fixed assets to paid-up capital is 9:10
The total assets of the firm are:
0
$70,000
11
12
$73,000
13
14
$78,000
15
16
$75,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F461ec06a-70ea-448c-86f2-55666ab88175%2F5a5a0ac7-82af-4c24-91e2-caca97bae9ea%2Fp3vw226_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Successfully signed in as vipulkumarmakwana8801.
X
Stock $14,000, debtors $20,000, creditors $20,000, beginning balance of retained earnings $18,000, administration and selling expense $20,000, 10% dividend on equity capital $3,000.
The following ratios are also given:
Stock turnover: 5 times
Current ratio: 2:1
Debtors collection period: 73 days
Outstanding expenses: 15% of creditors
Ratio of net profit after tax to net tangible assets is 1:10
Rate of income tax: 5%
The ratio of fixed assets to paid-up capital is 9:10
The total assets of the firm are:
0
$70,000
11
12
$73,000
13
14
$78,000
15
16
$75,000
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