The balance sheets at the end of each of the first two years of operations indicate the following:Kellman CompanyYear 2 Year 1$628,952 $564,32967,36541,431937,858726,476110,91486,305284,468 230,22895,903 95,903572,026572,02663,33863,338507,526Total current assetsTotal InvestmentsTotal property, plant, and equipmentTotal current liabilitiesTotal long-term abilitiesPreferred 9% stock, $100 parCommon stock, $10 parPaid-in capital in excess of par-common stockRetained earningsUsing the balance sheets for Kellman Company, if net income is $113,300 and interest expense is 140,436 for Year 2, what is the return on total assets for the year (round percent totwo decimal points)?Ⓒa 1037%Ⓒh 10.05%O 851%Od 693%

The following formula used to calculate as follows under:-Return on total assets=EBIT/Average total…

Answered: The balance sheets at the end of each…

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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10 A. During the current year, Sokowski Manufacturing earned income of $472,336 from total sales of $6,392,895 and average capital assets of $11,938,481. What is the ROI? Round to the nearest to the hundredth, two decimal places and submit the answer in a percentage.
Vertical Analysis of Balance Sheet Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows: Current Year Previous Year Current assets $299,520 $182,520 Property, plant, and equipment 542,880 484,380 Intangible assets 93,600 35,100 Current liabilities 215,280 112,320 Long-term liabilities 365,040 287,820 Common stock 93,600 98,280 Retained earnings 262,080 203,580 Prepare a comparative balance sheet for both years, stating each asset as a percent of total assets and each liability and stockholders' equity item as a percent of the total liabilities and stockholders' equity. If required, round percentages to one decimal place. Alvaraz Company Comparative Balance Sheet For the Years Ended December 31 Current Current Previous Previous уear year year year Amount Percent Amount Percent Current assets $299,520 % $182,520 % Property, plant, and equipment 542,880 % 484,380 Intangible assets 93,600 % 35,100 % Total assets $936,000 % $702,000 % Current…
8A. During the current year, Sokowski Manufacturing earned income of $342,385 from total sales of $6,375,343 and average capital assets of $10,106,928. What is the asset turnover? Round to the nearest to the hundredth, two decimal places and submit the answer in a percentage.
A condensed balance sheet for Simultech Corporation and a partially completed vertical analysis are presented below. Complete the vertical analysis by computing each missing line item as a percentage of total assets. (Round your answers to the nearest whole percent.) SIMULTECH CORPORATION Balance Sheet (summarized) January 31 (in millions of U.S. dollars) Cash $433 29 % Current Liabilities $409 27 % Accounts Receivable 294 19 Long-term Liabilities 495 33 Inventory 206 14 Total Liabilities 904 Other Current Assets 109 Common Stock 118 Property and Equipment 27 2 Retained Earnings 492 32 Other Assets 445 29 Total Stockholders’ Equity 610 Total Assets $1,514 100 % Total Liabilities & Stockholders’ Equity $1,514 100 % 2A. What percentage of Simultech’s total assets relate to inventory? (Round your answer to the nearest whole percent.) 2B. What percentage of Simultech’s total assets relate to property…
Working Capital and Short‑Term Liquidity Ratios Bell Company has a current ratio of 3.00 on December 31. On that date the company’s current assets are as follows: Cash $29,000 Short-term investments 49,400 Accounts receivable (net) 170,000 Inventory 200,000 Prepaid expenses 11,600 Current assets $460,000 Bell Company’s current liabilities at the beginning of the year were $140,000 and during the year its operating activities provided a cash flow of $60,000. a. What are the firm’s current liabilities on December 31? Round answer to the nearest whole number.Answer b. What is the firm’s working capital on December 31? Round answer to the nearest whole number. Answer c. What is the quick ratio on December 31? Round answer to 2 decimal places. Answer d. What is the Bell’s operating-cash-flow-to-current-liabilities ratio? Round answer to 2 decimal places. Answer
Vertical Analysis of Balance Sheet Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follows: Current Year Previous Year Current assets $289,000 $172,260 Property, plant, and equipment 467,500 427,460 Intangible assets 93,500 38,280 Current liabilities 204,000 114,840 Long-term liabilities 306,000 229,680 Common stock 76,500 82,940 Retained earnings 263,500 210,540 Prepare a comparative balance sheet for both years, stating each asset as a percent of total assets and each liability and stockholders' equity item as a percent of the total liabilities and stockholders' equity. If required, round percentages to one decimal place. Alvaraz Company Comparative Balance Sheet For the Years Ended December 31 CurrentyearAmount CurrentyearPercent PreviousyearAmount PreviousyearPercent Current assets $289,000 fill in the blank 1% $172,260 fill in the blank 2% Property, plant, and equipment…
The following information of Red Oak Manufacturing is available for the current year: Net income $844,200 Net sales 6,809,000 Average total assets 5,911,000 Average stockholders' equity 2,575,000 The total leverage as per the DuPont analysis computation is
The income statement for Sunland, Inc. is as follows:
A company reports the following: Sales $8,782,430 Average total assets (excluding long-term investments) 1,111,700 Determine the asset turnover ratio. Round your answer to one decimal place.fill in the blank 1

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