The following extracts relate to MN Co for 20X8 and 20X7: 20X8 20X7 Issued share capital 50,000 50,000 Share premium 5,500 5,500 Retained earnings 34,500 24,500 90,000 80,000 Non-current liabilities 10% Bank loan 4,500 5,600 Current liabilities Bank overdraft 3,000 500 Calculate the debt/equity ratio of MN Co for 20X8 and 20X7. 20X8 20X7

The following extracts relate to MN Co for 20X8 and 20X7: 20X8 20X7 Issued share capital 50,000 50,000 Share premium 5,500 5,500 Retained earnings 34,500 24,500 90,000 80,000 Non-current liabilities 10% Bank loan 4,500 5,600 Current liabilities Bank overdraft 3,000 500 Calculate the debt/equity ratio of MN Co for 20X8 and 20X7. 20X8 20X7

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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21. Kinsella Corporation's statement of financial position showed the following amounts: current liabilities, $75,000; total liabilities, $100,000; total assets, $200,000. What is the total long-term debt to total equity ratio? a.0.375 b.0.125 c.0.75 d.0.25
Data pertaining to the current position of Forte Company follow: Cash $440,000 Marketable securities 175,000 Accounts and notes receivable (net) 335,000 Inventories 700,000 Prepaid expenses 44,000 Accounts payable 180,000 Notes payable (short-term) 230,000 Accrued expenses 290,000 Required: 1. Compute (A) the working capital, (B) the current ratio, and (C) the quick ratio. Round ratios to one decimal place. 2. Compute the working capital, the current ratio, and the quick ratio after each of the following transactions and record the results in the appropriate columns of the table provided. Consider each transaction separately and assume that only that transaction affects the data given. Round ratios to one decimal place. A. Sold marketable securities at no gain or loss, $80,000. B. Paid accounts payable, $120,000. C. Purchased goods on account, $130,000. D. Paid notes payable, $105,000. E. Declared a cash dividend, $140,000. F. Declared a…
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Debt to Assets ratio? Current assets $22400 Net income $44500 Stockholders' Current liabilities 13400 66400 equity Average assets 132000 Total liabilities 28600 Total assets 87000 Average common shares outstanding was 17000. 21.7 percent 43.8 percent 32.9 percent 33.7 percent
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