The following ratios and other data pertain to the financial statement of the Bulacan for the year ended December 31, 2019: Current ratio ----------------------------------------------------------------------------- 1.75 to 1 Acid – Test ratio ------------------------------------------------------------------------- 1.27 to 1 Working Capital ------------------------------------------------------------------------- P33,000 Fixed asset to equity ratio ------------------------------------------------------------0.625 to 1 Inventory turnover (based on cost of closing inventory) --------------------- 4X Gross profit percentage -------------------------------------------------------------- 40% Earnings per share------------------------------------------------------------------------ P.50 Average age of outstanding accounts receivable (based on calendar Of 365 days) ----------------
The following ratios and other data pertain to the financial statement of the Bulacan for the year ended December 31, 2019:
Acid – Test ratio ------------------------------------------------------------------------- 1.27 to 1
Fixed asset to equity ratio ------------------------------------------------------------0.625 to 1
Inventory turnover (based on cost of closing inventory) --------------------- 4X
Gross profit percentage -------------------------------------------------------------- 40%
Earnings per share------------------------------------------------------------------------ P.50
Average age of outstanding
Of 365 days) ---------------------------------------------------------------------------- 73 days
Share capital outstanding ------------------------------------------------------------- 20,000 no par value shares
Earning for the year as a percentage of share capital--------------------------- 25%
The company has no prepaid expenses, deferred, intangible assets or long-term liabilities
Required:
Reconstruct in as much detail as is possible the company’s statement of financial position and income statement for the year ended December 31, 2016, show supporting computations in good form.
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