Data from the current year-end balance sheet: Assets Cash ***E *********** ******* Accounts receivable, net Notes receivable (trade) Merchandise inventory Prepaid expenses Plant and equipment, net ****** Total assets THE ***** ***** Datatech Sigma Company Company ************** $ 18,500 $33,000 36,400 56,400 8,100 6,200 83,440 131,500 4,000 5,950 284,000 303,400 $434,440 $536,450 Data from the current year's income statement: Sales Cost of goods sold Interest expense Income tax expense ******LTE **** ***E Datatech Sigma Company Company Net income ***** Basic earnings per share..... $660,000 $780,200 485,100 532,500 6,900 11,00C 12,800 19,300 67,770 105,000 1.94 2.56
Q: Grove Co. acquired a production machine on January 1, 2019, at a cost of $550,000. The machine is…
A: Formula : Straight line method Annual depreciation =cost – salvage value / useful life Given…
Q: Ch 6 During Heaton Company's first two years of operations, it reported absorption costing net…
A: ABSORPTION COSTING Absorption Costing is a Cost managerial Accounting method in which All Cost…
Q: Natalie is thinking of repaying all amounts outstanding to her grandmother. Recall that Cookie…
A: This is a problem related to accounting and finance that involves calculating interest payable and…
Q: [The following information applies to the questions displayed below] Ramirez Company installs a…
A: Lets understand the basics. Depreciation is a reduction in value of asset due to wear and tear,…
Q: Sensor Systems manufactures an optical switch that it uses in its final product. The switch has the…
A: The company can come across a situation where it needs to make decisions like make or buy. The…
Q: A company reports the following beginning inventory and two purchases for the month of January. On…
A: Cost of goods sold means the cost incurred on the making of the goods sold to the customers. Ending…
Q: 3 of 3 S eBook Print eferences Required information Exercise 10-13 (Algo) Effects of Changes in…
A: Return on investment :— It is calculated by dividing net operating income by average operating…
Q: During November, the production department of a process operations system completed and transferred…
A: The equivalent units are calculated on the basis of the percentage of the work completed during the…
Q: [The following information applies to the questions displayed below] Warnerwoods Company uses a…
A: The first in first out method states that the first purchases are sold first. Ending inventory under…
Q: The production budget is typically prepared prior to the sales budget. True or False True False
A: Introduction Budgets are prepared to estimate the requirements for the future period. Some…
Q: The following data pertain to Ronaldo Enterprises: Variable manufacturing cost Variable selling and…
A: The company will charge $359 if company use cost plus pricing based on absorption manufacturing cost…
Q: On its December 31, 2024 balance sheet, Sandhill Company appropriately reported a $10,000 debit…
A: An unrealized loss is a loss that results from holding an asset that has decreased in price, but not…
Q: A local picnic table manufacturer has budgeted these overhead costs: Purchasing $66,000 Handling…
A: The activity rate is calculated as Estimated cost divided by Estimated usage for the activity. The…
Q: Soft and Cuddly Friends (SCF) produces soft dolls. Demand for the dolls is increasing, and…
A: Introduction A limiting factor is anything that constrains a business' ability to maximize…
Q: Sunland Company compiled the following financial information as of December 31, 2020: Revenues…
A: INTRODUCTION: The amount of money that a company's owner has invested in or owns is referred to as…
Q: Manno Corporation has the following information available concerning its defined-benefit pension…
A: Pension benefits are an important component of retirement planning, as they provide a reliable…
Q: In today's fast-paced business environment, decision making is a critical task for managers. Making…
A: Cost accounting is defined as the branch of accounting used by manufacturing entities in order to…
Q: Joy Company was authorized to issue common stock of 100,000 shares with P50 par value on January 1,…
A: The term shares outstanding states the stock of company which is presently held through all of its…
Q: help with working answer in text
A: A company engaged in investment activities are regulated by U.S. Security and Exchange Commission.…
Q: Botanic Choice sells natural supplements to customers with an unconditional sales return if they are…
A: Journal entries are the records that an accounting system is constantly of business transactions. It…
Q: Required information [The following information applies to the questions displayed below.] Fitness…
A: Introduction: Return on investment is the formula used for calculation of percentage of return…
Q: Henna Company produces and sells two products, Carvings and Mementos. It manufactures these products…
A: HENNA Company contribution margin…
Q: Kennedy Appliance Inc.’s Machining Department incurred $174,000 of factory overhead cost in…
A: Factory overhead is the amount of money incurred on the making of the goods. It includes the…
Q: Exercise 4-7 (Algo) Income statement presentation; discontinued operations; restructuring costs…
A: Discontinued Operations - Discontinued Operations is operation not continued by the business due to…
Q: Futura Company purchases the 61,000 starters that it installs in its standard line of farm tractors…
A: The fixed costs incurred in the factory are not to be included in the production for additional…
Q: predetermined rate assuming that Wanda Instrumentation uses direct labor costs to apply overhead.…
A: A predetermined overhead rate is a rate calculated at the beginning of the accounting period. the…
Q: Please Solution with explanation And Do not give solution in image format
A: Deferred tax assets and liabilities are accounting words that refer to the disparities between how…
Q: When using a segmented income statement, what is the best number to look at to determine the effect…
A: An income statement is prepared by the business organizations so as to know how much amount of…
Q: The Reagan Corporation issues 1,000, 10-year, 8%, $1,000 bonds dated January 1, 2014, at 92. The…
A: JOURNAL ENTRIES Journal Entry is the First stage of Accounting Process. Journal Entry is the…
Q: Calculate the missing items in the income statement. Dollar amounts indicated are in thousands. The…
A: Financial statements are the financial reports that show the financial performance of an entity…
Q: As of December 31, 2022, Sandy Beach had $9,000,000 in 7.0 percent serial bonds outstanding. Cash of…
A: A serial bond debt service fund is a type of fund that is established to manage the repayment of a…
Q: WRT, a calendar year
A: Calculation of Income per share = $ 224000/ 100 shares = $ 2240 per share Calculation of Income per…
Q: How do I get both sides to balance? Assets =Liabilities and Stockholders Equity? I cant seem to find…
A: STATEMENT OF SHAREHOLDERS EQUITY Statement of Shareholders Equity is also Known as Changes in…
Q: Several years ago Brant, Inc., sold $950,000 in bonds to the public. Annual cash interest of 8…
A: Note : A journal entry is a form of accounting entry that is used to report a business transaction…
Q: At 9,000 direct labor hours, the flexible budget for indirect materials is P27,000. If P28,000 of…
A: Variance arises when there is difference between the actual data and the standard data. The variance…
Q: Diatomic Inc. has two divisions, Division Y and Division Z. In 20Y8, Division Z reports operating…
A: Solution: Return on investment of Division Z for 20Y8 = 12% Turnover of Division Z for 20Y8 = 3…
Q: Required: Compute the cost of goods transferred out in May and the cost of work-in-process ending…
A: Weighted-Average Process Costing: To compute the cost of goods transferred out and the…
Q: Please do not provide answer in image formate thank you. Part U67 is used in one of Broce…
A: Note : In make or buy decision, management has to decide between manufacturing a product inside the…
Q: Moore Company sells both designer and moderately priced fashion accessories. Top management is…
A: A manager should make a decision based on the comparison made between the two alternatives. The…
Q: On January 1, Year 2, Justo purchases 30,000 shares of the 100,000 outstanding shares of stock in…
A: Under equity method, investment is recorded at cost initially and then adjustments are made for the…
Q: At December 31, 2025, Pharoah Company has a portfolio of equity securities valued at $136000. Its…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Virginian Enterprises received a bill from Livingstone Landscaping for $14,500. They paid $5,000 on…
A: INTRODUCTION: Equity, also known as shareholders' equity (or owners' equity for privately owned…
Q: When inventory is shipped from the seller to the buyer with shipping terms of FOB destination: A.…
A: FOB- Free on board In FOB destination risk remains with the seller , until goods are delivered to…
Q: Which of the following is not generally correct about recording a sale of a debt security before its…
A: The other options are generally correct - A discount on the debt security is typically amortized to…
Q: Support your responses with appropriate cases, laws and other relevant examples by using at least…
A: Under the corporation law, shareholders have the right to access the corporate books and records,…
Q: Henna Company produces and sells two products, Carvings and Mementos. It manufactures these products…
A: Contribution margin income statement is the one which is prepared by the entity for the purpose of…
Q: A company’s current cost information relating to its production is shown in the table below: Per…
A: INTRODUCTION:- This question is related to the calculation of the minimum per unit sales price that…
Q: Required Prepare a schedule of cost of goods manufactured and sold. Calculate the amount of gross…
A: Formula: Materials consumed = Beginning Raw materials + Purchases - Ending materials Deducting…
Q: Randy and Sandy, a married couple with six young children, have a gross income of $160,000,…
A: To calculate Randy and Sandy's taxable income, we need to first determine their adjusted gross…
Q: Keiko Company took a physical inventory at December 31, 2019 and determined that ¥3,730,000 of goods…
A: Inventory is quite necessary and important in business, inventory may impact on cost of goods sold…
Please do not provide answer in image formate thnak you.
1. Compute the net profit margin, total asset turnover, return on total assets, and return on common
2. Assume each company paid a cash dividend of $1.50 per share and that each company’s stock can be purchased at $25 a share. Compute each company’s price earnings ratio and dividend yield.
3. Identify which company’s stock you would recommend as the better investment and explain why.
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- Accounts receivable (gross) Inventory Total current assets Total current liabilities Credit sales Cost of goods sold Current ratio Receivables turnover Inventory turnover 2021 1.000.000 $850,000 $750,000 $650,000 1.020,000 980,000 840,000 2,100,000 2,000,000 1,700,000 1.100.000 1,250,000 6.420.000 6.240,000 5.430.000 4,540,000 4,550,000 3,950,000 (b) Based on (1) current ratio, (2) receivables turnover ratio, and (3) inventory turnover ratio, what conclusion(s) can be drawn about the company's liquidity? 2021 21:1 2020 8.0 times 4.5 times 2020 2019 18:1 8.9 times 5.0 times.Calculate the common-sized percentage 2023. for Gross Margin inLAG Network Inc.'s balance sheet and income statement are as follows: LAG Network Inc. Income Statement For Year Ended December 31, 2020 Sales Cost of goods sold. Gross profit Operating expenses: Depreciation expense Other expenses Total operating expenses Profit from operations. Income taxes Profit $ 25,200 235,800 $ 930,600 558,200 $ 372,400 261,000 $ 111,400 20,600 $ 90,800
- Required information [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 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Current Year Interest expense Income tax expense Total costs and expenses Net income Earnings per share $ 26,605 89, 200 114,500 8,568 221, 258 $ 460,131 $ 112,281 84,775 162,500 100,575 1 Year Ago $ 65,696 89,408 162,500 79,061 $ 460, 131 $ 396,665 Current Year $ 31,099 62,900 85,000 8,163 209,503 $ 396,665 $364,884 185,433 10,169 7,776 The company's income statements for the current year and one year ago follow. Assume that all sales are on credit: For Year Ended December 31 Sales Cost of goods sold Other operating expenses $ 598,170 2 Years Ago $ 32,725 50,800 58,000 3,636 192, 139 $…At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity For Year Ended December 31 Sales Cost of goods sold Other operating expenses Current Year Interest expense Income tax expense Total costs and expenses Net income Earnings per share $ 31,880 88,776 116, 174 9,763 283, 158 $ 529,751 $ 127,951 100,589 162,500 138,711 $529,751 For both the current year and one year ago, compute the following ratios: $ 420,092 213,490 11,707 8,953 Current Year 1 Year Ago The company's income statements for the current year and one year ago follow. Assume that all sales are on credit: $ 688,676 $36,900 63,296 86,176 9,686 260,624 $ 456,682 654,242 $34,434 $ 2.12 2 Years Ago $36,930 50,235 $ 75,636 105, 037 163,500 $ 49,240 81,607 162,500 83,453 112,509 $ 456,682 $ 376,800 54, 576 4,186 230,873 $…Calculate the activity and liquidity ratios for P for the year ended 31 December 20X9. Revenue Gross profit Inventory Trade receivables Trade payables Cash Short-term investments Other current liabilities $m 1,867.5 489.3 147.9 393.4 275.1 53.8 6.2 284.3 Current ratio= Current assets Current liabilities Inventory days Inventory days = inventory+ cost of sales × 365 Receivable days Receivable days - receivables + credit sales x 365 Payable days Payable days = payables ÷ credit purchases x 365.
- At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Cost of goods sold Other operating expenses Current Year $ 26,053 77,051 95, 908 8, 732 242,846 $ 450, 590 Interest expense Income tax expense Total costs and expenses Net income Earnings per share 1 Year Ago Current Year $ 31, 386 54, 925 69, 706 $ 66,303 $ 113, 319 87, 252 162, 500 87, 519 89, 341 162,500 70, 296 $ 450, 590 $ 388, 440 $ 357, 318 181, 588 9,958 7,615 7,994 224, 429 388, 440 The company's income statements for the current year and one year ago, follow. 1 Year Ago For Year Ended December 31 Sales $ 585, 767 2 Years Ago 556, 479 S 29, 288 $ 1.80 $31, 085 43, 156 46,425 3,596 199, 438 $ 323, 700 $ 42,728 70, 822 162,500 47,650 $ 323, 700 $ 300, 459 116, 948 10, 632 6,934 $ 462,244 434,973 $ 27,271 $ 1.68Required information [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 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Current Year Interest expense Income tax expense Total costs and expenses Net income Earnings per share $ 31,800 89,500 112,500 10,700 278,500 $ 523,000 $ 129,900 98,500 163,500 131, 100 $ 523,000 Current Year 1 Year Ago $ 411,225 209,550 12,100 9,525 $ 35,625 62,500 82,500 9,375 255,000 $ 445,000 $ 75,250 101,500 163,500 104,750 $ 445,000 The company's income statements for the current year and one year ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses $ 673,500 2 Years Ago $ 37,800 50, 200 54,000 5,000 230,500 $ 377,500 642,400 $ 31,100 $ 1.90 $ 51,250…At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Current Year 1 Year Ago $ 28,952 85,608 105,504 9,512 266,097 $ 33,842 61,019 78,261 9,153 245,029 $ 427,304 $ 495,673 $ 123,423 $ 70,770 Long-term notes payable Common stock, $10 par value Retained earnings 92,255 162,500 117,495 Total liabilities and equity $ 495,673 $ 427,304 99,263 163,500 93,771 For both the current year and one year ago, compute the following ratios: 2 Years Ago $ 35,979 49,426 52,128 4,038 225,529 $ 367,100 $ 49,426 81,940 162,500 73,234 $ 367,100 Exercise 17-7 (Algo) Analyzing liquidity LO P3 (1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three-year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three-year period? Complete this question by entering your…
- (Calculating financial ratios) The balance sheet and income statement for the J. P. Robard Mfg. Company are as follows: Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin The company's current ratio is (Round to two decimal places.) . Calculate the following ratios: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 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Interest expense Income tax expense Total costs and expenses Net income Current Year $ 35,467 102,794 127,925 11,888 335,329 $ 613,403 For both the current year and one year ago, compute the following ratios: ه له مه له :. .: له The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses $ 149,683 117,626 162,500 183,594 $ 613,403 $ 486,429 247,201 Current Year 13,556 10,367 Vanu $ 797,424 Earnings per share Additional information about the company follows. Common stock market price, December 31, Current Year Common stock market price, December 31, 1 Year Ago Annual cash dividends per share…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 Liabilities and Equity Accounts payable Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Current Year $ 27,970 80, 264 100,917 9,097 251, 134 $ 469,382 $ 116,876 90,891 163,500 98,115 $ 469,382 $ 372,220 189,161 10,373 7,933 For both the current year and one year ago, compute the following ratios: Current Year 1 Year Ago $ 31,400 58,349 77,104 8,412 229,375 $ 404,640 Exercise 13-9 (Algo) Analyzing risk and capital structure LO P3 $ 70,436 92,137 163,500 78,567 $ 404,640 The company's income statements for the current year and one year ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share $ 610,197 579,687 $ 30,510 $1.88 2 Years Ago $ 312,989…