The following information was taken from Belton Manufacturing's balance sheet: Category Fixed Assets (Net) Dollar Amount ($) $950,000 Long-Term Liabilities $250,000 Total Liabilities $700,000 Total Stockholders' Equity $300,000 Determine the company's: (a) Ratio of Fixed Assets to Long-Term Liabilities (b) Ratio of Liabilities to Stockholders' Equity

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
Problem 6BE
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Please provide answer the following requirements on these financial accounting question

The following information was taken from Belton Manufacturing's
balance sheet:
Category
Fixed Assets (Net)
Dollar Amount ($)
$950,000
Long-Term Liabilities
$250,000
Total Liabilities
$700,000
Total Stockholders' Equity $300,000
Determine the company's:
(a) Ratio of Fixed Assets to Long-Term Liabilities
(b) Ratio of Liabilities to Stockholders' Equity
Transcribed Image Text:The following information was taken from Belton Manufacturing's balance sheet: Category Fixed Assets (Net) Dollar Amount ($) $950,000 Long-Term Liabilities $250,000 Total Liabilities $700,000 Total Stockholders' Equity $300,000 Determine the company's: (a) Ratio of Fixed Assets to Long-Term Liabilities (b) Ratio of Liabilities to Stockholders' Equity
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