Use the following information for the Exercises below. (Algo)[The following information applies to the questions displayed below.]Simon Company's year-end balance sheets follow.At December 31AssetsCashAccounts receivable, netMerchandise inventory.Prepaid expensesPlant assets, netTotal assetsCurrent Year 1 Year Ago 2 Years Ago$36,698106,361133,72911,699339,792$ 628,279$ 153,313120,479Liabilities and EquityAccounts payable$91,534122,081Long-term notes payableCommon stock, $10 par valueRetained earnings162,500165,505Total liabilities and equity$ 628,279 $ 541,620For both the current year and one year ago, compute the following ratios:162,500191,987$ 42,46376,585102,20411,602308,766$ 541,620Exercise 13-6 (Algo) Common-size percents LO P2$ 42,493.58,41062,8354,819273,943$ 442,500$57,24299,748162,500123,010$ 442,5001. Express the balance sheets in common-size percents.2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of totalassets favorable or unfavorable?3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total Required information1. Express the balance sheets in common-size percents.2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of totalassets favorable or unfavorable?3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of totalassets favorable or unfavorable?Complete this question by entering your answers in the tabs below.Req 1Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage.answers to 1 decimal place.)AssetsCashework iAccounts receivable, netMerchandise inventoryPrepaid expensesAssetsCashReq 2 and 3Required informationSIMON COMPANYCommon-Size Comparative Balance SheetsDecember 31Prepaid expensesPlant assets, netTotal assetsAccounts receivable, netMerchandise inventoryLiabilities and EquityAccounts payableLong-term notes payableCommon stock, $10 parRetained earningsTotal liabilities and equityReq 1Req 2 and 3Current Year 1 Year AgoCurrent Year2. Change in accounts receivable3. Change in merchandise inventory%%%%< Req 1< Reg 12 Years Ago1 Year AgoRequired informationComplete this question by entering your answers in the tabs below.%%%Saved2 Years Ago%%2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage oftotal assets favorable or unfavorable?Reg 2 and 3>%Req 2 and 3>3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage oftotal assets favorable or unfavorable?Show less A

Lets understand the basics. There are two types of analysis are made by the entity which are, (1)…

Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Current Year 1 Year Ago 2 Years Ago $ 42,463 76,585 102,204 11,602 308,766 $ 541,620 $36,698 106,361 133,729 11,699 339,792 $ 628,279 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity For both the current year and one year ago, compute the following ratios: $ 153,313 120,479 162,500 191,987 $ 628,279 $ 42,493 58,410 62,835 4,819 273,943 $ 442,500 $ 91,534 122,081 162,500 165,505 $57,242 99,748 162,500 123,010 $ 541,620 $ 442,500

Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Current Year 1 Year Ago 2 Years Ago $ 42,463 76,585 102,204 11,602 308,766 $ 541,620 $36,698 106,361 133,729 11,699 339,792 $ 628,279 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity For both the current year and one year ago, compute the following ratios: $ 153,313 120,479 162,500 191,987 $ 628,279 $ 42,493 58,410 62,835 4,819 273,943 $ 442,500 $ 91,534 122,081 162,500 165,505 $57,242 99,748 162,500 123,010 $ 541,620 $ 442,500

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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Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets $ 33,783 $ 39,888 71,898 89,474 Cash Accounts receivable, net Merchandise inventory Prepaid expenses 97,913 125,594 10,989 310,097 $39,900 56,491 58,411 4,616 256,082 10,785 Plant assets, net 286,555 Total assets $ 578,376 $ 498,600 $ 415,500 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings $ 144,016 109,822 $ 81,735 113,531 163,500 139,834 $ 54,298 91,826 163,500 105,876 163,500 161,038 $ 578,376 Total liabilities and equity $ 498,600 $ 415,500 For both the current year and one year ago, compute the following ratios: Exercise 17-10 (Algo) Analyzing efficiency and profitability LO P3 The company's income statements for the current year and 1 year ago, follow. For Year Ended December 31…
[The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Current Yr 1 Yr Ago 2 Yrs Ago Cash $ 26,794 $ 31,320 $ 62,100 84,000 32,958 Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net 89,900 111,000 50,500 53,000 3,662 199,580 8,629 8,221 213,846 227,082 Total assets $ 463,405 2$ 399,487 $ 339,700 Liabilities and Equity Accounts payable $ 113,080 $ 66,163 $ 43,944 Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings 85,378 162,500 90,044 73,572 162,500 162,500 102,447 80,780 59,684 Total liabilities and equity $ 463,405 $ 399,487 $339,700 The company's income statements for the Current Year and 1 Year Ago, follow. Assume that all sales are on credit: For Year Ended December 31 Current Yr 1 Yr Ago Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses $ 602,427 $…
Required information [The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show the following assets and liabilities as of December 31 for Year 1 and Year 2. December 31 Cash Accounts receivable office supplies office equipment Trucks Building Land Accounts payable Note payable Numerator: Year 1 $ 64,300 26,240 3,160 44,000 148,000 3. Compute the Year 2 year-end debt ratio. 1 1 1 0 0 3,500 0 Debt Ratio Denominator: Year 2 $ 15,640 19,100 1,960 44,000 157,000 80,000 60,000 33,500 40,000 Debt Ratio Debt ratio
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Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Current Year 1 Year Ago $ 40,719 $ 35,180 99,964 128, 199 11,440 309,799 69,142 92,298 10,477 291,314 $ 584,582 $ 503,950 2 Years Ago $ 41,576 55,434 61,441 4,806 260,943 $ 424,200 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity For both the current year and one year ago, compute the following ratios: $ 85,168 115,909 $ 148,472 111,000 163,500 161,610 163,500 139,373 $ 584,582 $ 503,950 $ 54,875 95,623 163,500 110,202 $ 424,200 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in…
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Required information [The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show the following assets and liabilities as of December 31 for Year 1 and Year 2. December 31 Cash Accounts receivable Office supplies Office equipment Trucks Building Land Accounts payable Note payable Numerator: Year 1 $ 54,017 29,321 4,625 141,979 55,558 3. Compute the Year 2 year-end debt ratio. 1 0 0 77,085 0 Debt Ratio Denominator: Year 2 $ 10,358 22,988 3,388 151, 235 64,558 185,208 46,216 38, 232 131,424 = = Debt Ratio Debt ratio 0
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Excerpts from Sydner Corporation's most recent balance sheet appear below: Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Total current liabilities Year 2 Year 1 $ 140 $ 160 210 230 240 200 10 10 $ 600 $ 600 $360 $ 330 Sales on account in Year 2 amounted to $1,390 and the cost of goods sold was $900. The accounts receivable turnover for Year 2 is closest to:
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