Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
What is the value of the company's quick current assets?
A. $ 164,477
B. $ 305,885
C. $ 243,146
D. $ 486,266
Transcribed Image Text:TABLE P3.3 Balance Sheet, Peachtree Construction (31 December 2016)
Assets
Current assets
Cash
$243,146
Accounts receivable
Trade accounts
201,573
Retainage
42,147
Total accounts receivable
243,720
Material inventory
1,873
Work in process (costs and estimated earnings in excess of
76,142
billings)
Prepaid expenses
6,148
Other current assets
782
Total current assets
571,811
Fixed assets
542,173
Machinery and equipment
Cars and trucks
49,214
Furniture and fixtures
5,812
Total depreciable assets
597,199
Less accumulated depreciation
291,314
Net fixed assets
305,885
Total assets
877,696
Current liabilities
Accounts payable
236,144
Retainage payable
21,312
Notes payable
84,211
Accrued liabilities
15,827
Work in process (billings in excess of costs and estimated
5,163
earnings)
Other current liabilities
1,421
Total current liabilities
364,078
Long-term liabilities
138,481
Total liabilities
502,559
Capital stock
15,000
Retained earnings
360,137
Total net worth
375,137
Total liabilities and net worth
$877,696
Liabilities
Net worth
TABLE P3.4 Income Statement, Peachtree Construction (Year ended 31
December 31, 2015)
% of Sales
2,143,761
100
Net sales-total revenue costs
Materials
1,013,913
548,271
Labor (includes all payroll taxes
and union fringes)
Subcontracts
201,798
Other direct costs
51,450
Total direct costs
1,815,432
Gross profit
328,329
Operating expenses
Variable overhead
Auto and truck
12,089
Communications
5,575
Interest
1,275
Miscellaneous
213
Office supplies
1,943
Travel and entertainment
871
Total variable overhead
21,966
Fixed overhead
Contributions
675
Depreciation
8,238
Dues and subscriptions
514
Insurance
12,475
Legal and audit
2,315
Licenses and taxes
175
Payroll taxes (office only)
51,790
Rent
2,506
375
Repairs and maintenance
Salaries-office
23,418
Salaries-officers
38,410
Total fixed overhead
140,891
Total overhead
162,857
Net profit before taxes
165,472
State and federal taxes
77,076
Net profit
88,396
47.3
25.57
9.41
2.4
84.68
15.32
0.57
0.26
0.05
0.01
0.09
0.04
1.02
0.03
0.38
0.02
0.58
0.1
0.01
2.42
0.12
0.02
1.1
1.79
6.57
7.59
7.73
3.6
4.13
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