Use the following information from Denton Enterprises. Assume all figures are fiscal year- end. Sales Revenue $1,200,000 Cost of Goods Sold $700,000 Net Income $250,000 Cash $150,000 Average Inventory $250,000 Total Current Assets $500,000 Total Assets $900,000 Total Current Liabilities $300,000 Total Liabilities Retained Earnings $600,000 $300,000 What is the Total Owners' Equity for Denton Enterprises? A. $600,000 B. $900,000 C. $300,000 D. $400,000

Use the following information from Denton Enterprises. Assume all figures are fiscal year- end. Sales Revenue $1,200,000 Cost of Goods Sold $700,000 Net Income $250,000 Cash $150,000 Average Inventory $250,000 Total Current Assets $500,000 Total Assets $900,000 Total Current Liabilities $300,000 Total Liabilities Retained Earnings $600,000 $300,000 What is the Total Owners' Equity for Denton Enterprises? A. $600,000 B. $900,000 C. $300,000 D. $400,000

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
Last year, Nikkola Company had net sales of 2,299,500,000 and cost of goods sold of 1,755,000,000. Nikkola had the following balances: Refer to the information for Nikkola Company above. Required: Note: Round answers to one decimal place. 1. Calculate the average inventory. 2. Calculate the inventory turnover ratio. 3. Calculate the inventory turnover in days. 4. CONCEPTUAL CONNECTION Based on these ratios, does Nikkola appear to be performing well or poorly?
The following information is available for Cooke Company for the current year: The gross margin is 40% of net sales. What is the cost of goods available for sale? a. 5840,000 b. 960,000 c. 1,200,000 d. 1,220,000
Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Required: 1. Calculate the return on sales. (Note: Round the percent to two decimal places.) 2. CONCEPTUAL CONNECTION Briefly explain the meaning of the return on sales ratio, and comment on whether Juroes return on sales ratio appears appropriate.
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The income statement of Bridgeport Corp. is presented here. Bridgeport Corp.Income StatementFor the Year Ended November 30, 2022 Sales revenue $7,636,400 Cost of goods sold Beginning inventory $1,902,800 Purchases 4,367,700 Goods available for sale 6,270,500 Ending inventory 1,599,500 Total cost of goods sold 4,671,000 Gross profit 2,965,400 Operating expenses Selling expenses 447,600 Administrative expenses 691,300 1,138,900 Net income $1,826,500 Additional information: 1. Accounts receivable decreased $380,600 during the year, and inventory decreased $303,300. 2. Prepaid expenses increased $147,000 during the year. 3. Accounts payable to suppliers of merchandise decreased $349,500 during the year. 4. Accrued expenses payable decreased $99,800 during the year. 5. Administrative expenses…
InThe income statement of Pina Company is shown below. PINA COMPANYINCOME STATEMENTFOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $6,610,000 Cost of goods sold Beginning inventory $1,910,000 Purchases 4,530,000 Goods available for sale 6,440,000 Ending inventory 1,630,000 Cost of goods sold 4,810,000 Gross profit 1,800,000 Operating expenses Selling expenses 450,000 Administrative expenses 680,000 1,130,000 Net income $670,000 Additional information: 1. Accounts receivable decreased $300,000 during the year. 2. Prepaid expenses increased $180,000 during the year. 3. Accounts payable to suppliers of merchandise decreased $280,000 during the year. 4. Accrued expenses payable decreased $110,000 during the year. 5. Administrative expenses include depreciation expense of $70,000. Prepare…
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Following is an incomplete current-year income statement. Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: Return on total assets is 16% (average total assets is $80,000). Inventory turnover is 4 (average inventory is $5,000). Accounts receivable turnover is 7 (average accounts receivable is $6,000). Income Statement Net Sales Cost of goods sold Selling, general, and administrative expenses 7,100 Income tax expense 2,100 Net Income