W. F. Bailey Company had a quick ratio of 1.4, a current ratio of 3.0, an inventory turnover ratio of 5, total current assets of $810,000, and cash and equivalents of $120,000 in 2009. If the cost of goods sold equaled 86 percent of sales, what were Bailey's annual sales and DSO?

W. F. Bailey Company had a quick ratio of 1.4, a current ratio of 3.0, an inventory turnover ratio of 5, total current assets of $810,000, and cash and equivalents of $120,000 in 2009. If the cost of goods sold equaled 86 percent of sales, what were Bailey's annual sales and DSO?

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 15BEA: Last year, Nikkola Company had net sales of 2,299,500,000 and cost of goods sold of 1,755,000,000....

See similar textbooks

Related questions

Q: There are 4 different requirements please take all and give answer for general account questions

A: Given Data:Variable Raw Material Costs per pair: $32.05Variable Labor Expenses per pair:…

Q: What is Sarasota's return on assets for 2017 on these general accounting question?

A: Step 1: Define Return on AssetsThe return on assets is one of the profitability and efficiency ratio…

Q: Which of the following is NOT likely to be an indicator of possible asset impairment? Select one:…

A: Asset impairment occurs when the carrying amount of an asset exceeds its recoverable amount. The…

Q: subject:- Account

A: To determine the value of Tracy Company's inventory under the lower-of-cost-or-market approach, we…

Q: I need answer of this question solution general accounting

A: (a) Receivables TurnoverStep 1: Calculate Average Accounts Receivable • Average Accounts Receivable…

Q: provide answer for this account query

A: Given data:Selling price per hotdog: $20Cost of raw material per hotdog: $12Packing cost per hotdog:…

Q: When does the industry specificity...

A: Explanation of Industry Specificity Principle:The industry specificity principle recognizes that…

Q: Travis Company has just completed a physical inventory count at year-end, December 31 of the current…

A: ParticularsAmount ReasonInventory as of December 31$66,600 Adjustments:Goods sent to customer on…

Q: General account tutor please accept it and solve

A: 1. Compute the product cost per unit using variable costingUnder variable costing, the product cost…

Q: Question Dupont analysis

A: Explanation of DuPont Analysis: This is a financial analysis framework that breaks down ROE into…

Q: Hello tutor answer these general accounting question not use ai and chatgpt please don't

A: Step 1: Define Return on Common Stockholders' EquityReturn On Equity (ROE), or return on common…

Q: None

A: If you have any clarifications (i.e., expand the explanation) or want different, expanded, or…

Q: Which condition triggers special revenue accounting

A: Explanation of Bill-and-Hold Arrangements: Bill-and-hold arrangements are special sales agreements…

Q: Sohar Suppliers Limited, a SAOC firm founded in Sohar in 2015, primarily supplies imported products…

A: 1 (a) Adjust the net profit for allowable and disallowable items1 (b) Explanation of…

Q: Amanda would like to organize BAL as either an LLC (taxed as a sole proprietorship) or a C…

A: Step 1. Scenario 1: BAL Organized as an LLC (taxed as a sole proprietorship)1. Income…

Q: A company borrowed $560,000 by signing accounting questions solution

A: Interest = Amount Borrowed x 5% x t/360where, Amount Borrowed = $560,000 and t = 60 days Note: 360…

Q: Can you please answer the general accounting question?

A: Step 1: Define SalesSales is an equity account that is recorded when the company sells goods to its…

Q: Hello tutor please provide this question solution general accounting

A: Step 1: Define Interest ExpenseInterest is paid on borrowings. It is a cost against the company's…

Q: Please given accounting question answer

A: Step 1: Define High-Low MethodThe high-low method is a method to analyze mixed costs. This method…

Q: Get correct answer general accounting

A: Step 1: Define Accounts ReceivableWhen goods are sold on credit, the accounts receivable is debited…

Q: Please provide correct answer general accounting

A: Step 1: Define Accounts Receivable TurnoverAccounts receivable is a critical component of a…

Q: Lynn Bishop placed $10,000 in a money market account that pays 5.5% interest compounded monthly. How…

A: In this problem, we are given the following values:Principal amount (P) = $10,000Annual interest…

Q: Forron Company, wich has only one product, has provided the following data concerning it's most…

A: Step 1: Define Absorption CostingAbsorption costing is a costing method under which fixed…

Q: general account questions

A: Step 1: Determine the Market ValueThe market value is the middle value of the following:Replacement…

Q: General accounting question

A: Step 1: Define Receivable TurnoverReceivable turnover is a financial ratio used in corporate…

Q: Can you please solve these general accounting question without use Ai?

A: Step 1: Define Absorption CostingAbsorption costing is a method used to prepare income statement for…

Q: What role does completeness verification serve in accounting cycles? a) Partial verification…

A: Explanation of Completeness Verification: Completeness verification is a crucial accounting control…

Q: Financial accounting question

A: Explanation: In the given case, we are required to calculate the average collection period for the…

Q: Provide correct answer this question general accounting

A: Step 1: Define ACP and DSOACP stands for average collection period or average credit period. It…

Q: Wanna answer

A: Explanation of Cross-Sequential Analysis:Cross-sequential analysis refers to a method of examining…

Q: The company has a net income of $199,000, provide correct solution for these accounting question

A: Step 1: Define Accounts ReceivableWhen a company gives credit to its clients, it creates an account…

Q: Hello tutor please provide correct answer general accounting

A: Step 1: Define Relevant Costs in Special Order DecisionThe relevant costs a company must consider…

Q: Given below is the balance sheet for the Bank of New Providence: please need answer the general…

A: Step 1: Define Return on EquityReturn on Equity (ROE) is a financial metric that measures the…

Q: 11-12 The partnership of Ace, Jack, and Spade has been in business for 25 years. On December 31,…

Q: The following inventory transactions took place for Carla Vista Ltd. for the year ended December 31,…

A: Step 1:FIFO:-Fifo is the method of valuation of inventory in which inventory purchased first will be…

Q: Get correct answer general accounting

A: Step 1: Define Sales RevenueSales Revenue is the amount received by selling the goods or providing…

Q: Hi expart answer do fast and step by step calculation with explanation for these general accounting…

A: Step 1: Define Operating Cycle and Cash CycleThe operating cycle for a firm represents the gross…

Q: Provide correct answer general accounting

A: Step 1:Variable cost per unit (using high-low method): Variable cost per unit = (Highest total cost…

Q: 5. Jobs completed during December and the actual output were:Job No. Quantity Items3005-5 48,000…

Q: GENERAL ACCOUNT - 45 Yang Company purchased 2,000 phones and has 400 phones in its ending inventory…

A: Step 1: Understanding the Key Terms1. Cost: This is the price Yang Company paid to purchase the…

Q: Don't use ai, it will give you wrong answer

A: Question 1Estimated defective units= 5% of units Sold= 400 Units x 5%= 20 UnitsThe Liablity for…

Q: Financial accounting chapter 12

A: Explanation of Gross Income: Gross income represents the total amount of money earned by the Warner…

Q: INCOME?

A: Step 1: IntroductionGross Income = $560,000Business expense = $325,000Interest income =…

Q: Hi expert please give me answer general accounting

A: Step 1: Define Net IncomeNet income is the most important indicator of a business's performance as…

Q: General accounting question please solve

A: Step 1: Define Absorption CostingAbsorption costing is a costing method under which fixed…

Q: calculate variable costing

A: Step 1: Calculate the Contribution Margin per unitUnder variable costing, the unit product cost…

Q: Hello tutor provide correct answer accounting question not use ai..

A: Step 1: Define High-low MethodOne method of estimating the company's total cost for a specific sales…

Q: LORING COMPANY HAD THE FOLLOWING DATA FOR THE MONTH: [SUBJECT: GENERAL ACCOUNT] Variable costs per…

A: Step 1: Calculate the Unit Product Cost under Variable CostingUnder variable costing, the unit…

Q: solve this account problem. in short details

A: Step-by-Step Process:Compare the cost and market value for each type of stove.Select the lower value…

Q: Bramble corp. Accepts from gates need accounting questions solution

A: Step 1: Define Note PayableNote payable is a liability account for the company which is reported on…

Question

100%

Given answer accounting questions

W. F. Bailey Company had a quick ratio of 1.4, a
current ratio of 3.0, an inventory turnover ratio
of 5, total current assets of $810,000, and cash
and equivalents of $120,000 in 2009. If the cost
of goods sold equaled 86 percent of sales, what
were Bailey's annual sales and DSO?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

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.
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
W. F. Bailey Company had a quick ratio of 1.4, a current ratio of 3.0, an inven-tory turnover of five times, total current assets of $810,000, and cash andequivalents of $120,000 in 2015. If the cost of goods sold equaled 80 percent ofsales, what were Bailey’s annual sales and DSO?
W&B Corp. has current liabilities of $440,000, a quick ratio of 1.8, inventory turnover of 4.5, and a current ratio of 4.1. What is the cost of goods sold for the company? Cost of goods sold $
The Barnsdale Corporation has the following ratios: A0*/S0 = 1.6; L0*/S0 = 0.4; profit margin = 0.10; and dividend payout ratio = 0.45, or 45%. Sales last year were $100 million. suppose Barnsdale’s financial consultants report (1) that the inventory turnover ratio (sales/inventory) is 3, compared with an industry average of 4, and (2) that Barnsdale could reduce inventories and thus raise its turnover ratio to 4 without affecting its sales, profit margin, or other asset turnover ratios. 1.) Under these conditions, use the AFN equation to determine the amount of additional funds Barnsdale would require during the 1st year if sales grow at a rate of 20% per year. 2.)Under these conditions, use the AFN equation to determine the amount of additional funds Barnsdale would require during the 2nd year if sales grow at a rate of 20% per year.
The Barnsdale Corporation has the following ratios: A0*/S0 = 1.6; L0*/S0 = 0.4; profit margin = 0.10; and dividend payout ratio = 0.45, or 45%. Sales last year were $100 million. suppose Barnsdale’s financial consultants report (1) that the inventory turnover ratio (sales/inventory) is 3, compared with an industry average of 4, and (2) that Barnsdale could reduce inventories and thus raise its turnover ratio to 4 without affecting its sales, profit margin, or other asset turnover ratios. Requirement: a. Under these conditions, use the AFN equation to determine the amount of additional funds Barnsdale would require during the 1st year if sales grow at a rate of 20% per year. Sample format: 1,111,111 b. Under these conditions, use the AFN equation to determine the amount of additional funds Barnsdale would require during the 2nd year if sales grow at a rate of 20% per year. Sample format: 1,111,111
Crane reported the following information for its fiscal year end: On net sales of $ 53.000 billion, the company earned net income after taxes of $ 7.155 billion. It had a cost of goods sold of $ 21.465 billion and EBIT of $ 9.275 billion. What are the company’s gross profit margin, operating profit margin, and net profit margin? (Round answers to 1 decimal place, e.g.12.5%.) Gross profit margin % Operating profit margin % Net profit margin %
Last year, Quayle Energy had sales of $200 million and its inventory turnover ratio was 5.0. The company’s current assets totaled $100 million and its current ratio was 1.2. What was the company’s quick ratio?
Krating Corporation has the following ratios: A0*/S0 = 1.6; L0*/S0 = 0.4; Profit Margin = 0.10; and Dividend Payout Ratio = 0.45, or 45%. Sales last year were $100 million, suppose Krating’s financial consultants report (1) that the Inventory Turnover Ratio (sales/inventory) is 3, compared with an Industry Average of 4, and (2) that Krating could reduce inventories and thus raise its Turnover Ratio to 4 without affecting its Sales, Profit Margin, or other Asset Turnover Ratios. Under these conditions, use the AFN equation to determine the amount of additional funds Krating would require during the 1st year if sales grow at a rate of 20% per year. Show Solutions and Explain. Under these conditions, use the AFN equation to determine the amount of additional funds Krating would require during the 2nd year if sales grow at a rate of 20% per year. Show Solutions and Explain.
e. The average sale period. (The inventory at the beginning of last year totaled$1,920,000.) f. The operating cycle. g. The total asset turnover. (The total assets at the beginning of last year totaled$12,960,000.)
Oliver Incorporated has a current ratio sales and its current liabilities are $2 million. What is the company's inventory turnover ratio? = 2.6, and a quick ratio equal to 2.2. The company has $4 million in
A 2011 income statement shows the following figures in millions: Net Sales $23.5, Returns $.5, Cost of goods sold $12.9, and Operating Expenses $3.08 do a vertical analysis and round each percent to the nearest for tenth.