Use the financial statements below to calculate the current ratio. Balance Sheet (000's) Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant and equipment Goodwill Total assets Income Statement (000's) Revenues Cost of sales Gross profit 40,789 (18,429) 22,360 Depreciation and amortization (1,495) Marketing (9,598) (352) (1,062) 9,853 (571) (1,500) 7.782 Sales General and administration Operating profit Interest Taxes Net income Accounts payable Short-term loan 9,121 6,904 9,601 5,513 31,139 14,150 3,460 48,749 4,800 3.853
Use the financial statements below to calculate the current ratio. Balance Sheet (000's) Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant and equipment Goodwill Total assets Income Statement (000's) Revenues Cost of sales Gross profit 40,789 (18,429) 22,360 Depreciation and amortization (1,495) Marketing (9,598) (352) (1,062) 9,853 (571) (1,500) 7.782 Sales General and administration Operating profit Interest Taxes Net income Accounts payable Short-term loan 9,121 6,904 9,601 5,513 31,139 14,150 3,460 48,749 4,800 3.853
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Use the financial statements below to calculate the current ratio.
Income Statement (000's)
Revenues
Cost of sales
Gross profit
Depreciation and amortization
Marketing
Sales
General and administration
Operating profit
Interest
Taxes
Net income
3.6
4.6
3.8
3.4
40,789
(18,429)
22,360
(1,495)
(9,598)
(352)
(1,062)
9,853
(571)
(1,500)
7,782
Balance Sheet (000's)
Cash
Accounts receivable
Inventory
Prepaid expenses
Total current assets.
Property, plant and equipment
Goodwill
Total assets
Accounts payable
Short-term loan
Total current liabilities
Long-term loan
9,121
6,904
9,601
5,513
31,139
14,150
3,460
48,749
4,800
3,853
8,653
15,000
Share capital
17,314
Retained earnings
7,782
Total shareholders' equity
25,096
Total liabilities and shareholders' equity 48,749
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