FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall common stock was $ 55 on December 31, 20Y2.

Marshall Inc.
Comparative Retained Earnings Statement
For the Years Ended December 31, 20Y2 and 20Y1
       20Y2      20Y1
Retained earnings, January 1 $3,112,575    $2,638,225   
Net income 700,800   540,300  
Dividends:        
  On preferred stock (11,200)   (11,200)  
  On common stock (54,750)   (54,750)  
Retained earnings, December 31 $3,747,425    $3,112,575   



Marshall Inc.
Comparative Income Statement
For the Years Ended December 31, 20Y2 and 20Y1
      20Y2     20Y1
Sales $3,863,160   $3,559,340  
Cost of merchandise sold 1,516,210   1,394,910  
Gross profit $2,346,950   $2,164,430  
Selling expenses $731,580   $918,970  
Administrative expenses 623,190   539,710  
Total operating expenses $1,354,770   $1,458,680  
Income from operations $992,180   $705,750  
Other revenue and expense:        
    Other revenue 52,220   45,050  
    Other expense (interest) (248,000)   (136,800)  
Income before income tax expense $796,400   $614,000  
Income tax expense 95,600   73,700  
Net income $700,800   $540,300  



Marshall Inc.
Comparative Balance Sheet
December 31, 20Y2 and 20Y1
       20Y2      20Y1
Assets  
Current assets:    
  Cash $698,750   $697,040  
  Marketable securities 1,057,560   1,155,090  
  Accounts receivable (net) 737,300   693,500  
  Inventories 554,800   423,400  
  Prepaid expenses 132,198   139,410  
    Total current assets $3,180,608   $3,108,440  
Long-term investments 2,310,757   1,125,115  
Property, plant, and equipment (net) 3,720,000   3,348,000  
Total assets $9,211,365   $7,581,555  
Liabilities
Current liabilities $993,940   $1,388,980  
Long-term liabilities:    
  Mortgage note payable, 8% $1,390,000   $0  
  Bonds payable, 8% 1,710,000   1,710,000  
    Total long-term liabilities $3,100,000   $1,710,000  
Total liabilities $4,093,940   $3,098,980  
Stockholders' Equity    
Preferred $0.70 stock, $40 par $640,000   $640,000  
Common stock, $10 par 730,000   730,000  
Retained earnings 3,747,425   3,112,575  
Total stockholders' equity $5,117,425   $4,482,575  
Total liabilities and stockholders' equity $9,211,365   $7,581,555  

Required:

Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, which should be rounded to the nearest cent. Use the rounded answer of the requirement for subsequent requirement, if required. Assume 365 days a year.

 

***SEE ATTACHED PHOTO FOR QUESTIONS ASKED ABOUT THE INFORMATION ABOVE. I AM NEEDING NUMBERS 7,8,9 PLEASE***

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Required:
Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, whic
required. Assume 365 days a year.
1. Working capital
2. Current ratio
Quick ratio
Accounts receivable turnover
Number of days' sales in receivables
Inventory turnover
Number of days' sales in inventory
8.
Ratio of fixed assets to long-term liabilities
9.
Ratio of liabilities to stockholders' equity
10. Times interest earned
3.
4.
5.
6.
7.
11. Asset turnover
12. Return on total assets
13. Return on stockholders' equity
14. Return on common stockholders' equity
15. Earnings per share on common stock
16. Price-earnings ratio
17. Dividends per share of common stock
18. Dividend yield
Check My Work
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Transcribed Image Text:< Required: Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, whic required. Assume 365 days a year. 1. Working capital 2. Current ratio Quick ratio Accounts receivable turnover Number of days' sales in receivables Inventory turnover Number of days' sales in inventory 8. Ratio of fixed assets to long-term liabilities 9. Ratio of liabilities to stockholders' equity 10. Times interest earned 3. 4. 5. 6. 7. 11. Asset turnover 12. Return on total assets 13. Return on stockholders' equity 14. Return on common stockholders' equity 15. Earnings per share on common stock 16. Price-earnings ratio 17. Dividends per share of common stock 18. Dividend yield Check My Work DOG 20 O @ _____ M 0 W $ 100000 days days % % % % DELL
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