The following are financial statements of Crane Company. Crane Company Income Statement For the Year Ended December 31, 2022 Net sales $2,192,500 Cost of goods sold 1,010,500 Selling and administrative expenses 900,500 Interest expense 78,000 Income tax expense 62,500 Net income $ 141,000 Crane Company Balance Sheet December 31, 2022 Assets Current assets Cash $ 55,100 Debt investments 89,000 Accounts receivable (net) 168,400 Inventory 236,500 Total current assets 549,000 Plant assets (net) 572,500 Total assets $ 1,121,500 Liabilities and Stockholders’ Equity Current liabilities Accounts payable $ 152,000 Income taxes payable 31,000 Total current liabilities 183,000 Bonds payable 220,740 Total liabilities 403,740 Stockholders’ equity Common stock 345,000 Retained earnings 372,760 Total stockholders’ equity 717,760 Total liabilities and stockholders’ equity $1,121,500 Additional information: The net cash provided by operating activities for 2022 was $192,700. The cash used for capital expenditures was $91,000. The cash used for dividends was $31,700. The weighted-average common shares outstanding during the year was 50,000. (a) Compute the following values and ratios for 2022. (We provide the results from 2021 for comparative purposes.) (Round Current Ratio and Earnings per share to 2 decimal places, e.g. 15.25 and Debt to assets ratio to 1 decimal place, e.g. 78.9%. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) (i) Working capital. (2021: $160,500) (ii) Current ratio. (2021: 1.65:1) (iii) Free cash flow. (2021: $48,700) (iv) Debt to assets ratio. (2021: 31%) (v) Earnings per share. (2021: $3.15) (i) Working capital $enter a dollar amount (ii) Current ratio enter amount rounded to 2 decimal places :1 (iii) Free cash flow $enter a dollar amount (iv) Debt to assets ratio enter percentages rounded to 1 decimal place % (v) Earnings per share $enter a dollar amount rounded to 2 decimal places
The following are financial statements of Crane Company. Crane Company Income Statement For the Year Ended December 31, 2022 Net sales $2,192,500 Cost of goods sold 1,010,500 Selling and administrative expenses 900,500 Interest expense 78,000 Income tax expense 62,500 Net income $ 141,000 Crane Company Balance Sheet December 31, 2022 Assets Current assets Cash $ 55,100 Debt investments 89,000 Accounts receivable (net) 168,400 Inventory 236,500 Total current assets 549,000 Plant assets (net) 572,500 Total assets $ 1,121,500 Liabilities and Stockholders’ Equity Current liabilities Accounts payable $ 152,000 Income taxes payable 31,000 Total current liabilities 183,000 Bonds payable 220,740 Total liabilities 403,740 Stockholders’ equity Common stock 345,000 Retained earnings 372,760 Total stockholders’ equity 717,760 Total liabilities and stockholders’ equity $1,121,500 Additional information: The net cash provided by operating activities for 2022 was $192,700. The cash used for capital expenditures was $91,000. The cash used for dividends was $31,700. The weighted-average common shares outstanding during the year was 50,000. (a) Compute the following values and ratios for 2022. (We provide the results from 2021 for comparative purposes.) (Round Current Ratio and Earnings per share to 2 decimal places, e.g. 15.25 and Debt to assets ratio to 1 decimal place, e.g. 78.9%. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) (i) Working capital. (2021: $160,500) (ii) Current ratio. (2021: 1.65:1) (iii) Free cash flow. (2021: $48,700) (iv) Debt to assets ratio. (2021: 31%) (v) Earnings per share. (2021: $3.15) (i) Working capital $enter a dollar amount (ii) Current ratio enter amount rounded to 2 decimal places :1 (iii) Free cash flow $enter a dollar amount (iv) Debt to assets ratio enter percentages rounded to 1 decimal place % (v) Earnings per share $enter a dollar amount rounded to 2 decimal places
Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
10th Edition
ISBN:9781337902571
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter3: Financial Statements, Cash Flow, And Taxes
Section: Chapter Questions
Problem 19SP
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Question 1
The following are financial statements of Crane Company.
Additional information: The net cash provided by operating activities for 2022 was $192,700. The cash used for capital expenditures was $91,000. The cash used for dividends was $31,700. The weighted-average common shares outstanding during the year was 50,000.
Crane Company Income Statement For the Year Ended December 31, 2022 |
||
---|---|---|
Net sales
|
$2,192,500 | |
Cost of goods sold
|
1,010,500 | |
Selling and administrative expenses
|
900,500 | |
Interest expense
|
78,000 | |
Income tax expense
|
62,500 | |
Net income
|
$ 141,000 |
Crane Company Balance Sheet December 31, 2022 |
||
---|---|---|
Assets
|
||
Current assets
|
||
Cash
|
$ 55,100 | |
Debt investments
|
89,000 | |
|
168,400 | |
Inventory
|
236,500 | |
Total current assets
|
549,000 | |
Plant assets (net)
|
572,500 | |
Total assets
|
$ 1,121,500 | |
Liabilities and
|
||
Current liabilities
|
||
Accounts payable
|
$ 152,000 | |
Income taxes payable
|
31,000 | |
Total current liabilities
|
183,000 | |
Bonds payable
|
220,740 | |
Total liabilities
|
403,740 | |
Stockholders’ equity
|
||
Common stock
|
345,000 | |
|
372,760 | |
Total stockholders’ equity
|
717,760 | |
Total liabilities and stockholders’ equity
|
$1,121,500 |
Additional information: The net cash provided by operating activities for 2022 was $192,700. The cash used for capital expenditures was $91,000. The cash used for dividends was $31,700. The weighted-average common shares outstanding during the year was 50,000.
(a) | Compute the following values and ratios for 2022. (We provide the results from 2021 for comparative purposes.) (Round |
(i) | ||
(ii) | Current ratio. (2021: 1.65:1) | |
(iii) | ||
(iv) | Debt to assets ratio. (2021: 31%) | |
(v) | Earnings per share. (2021: $3.15) |
(i) |
Working capital
|
$enter a dollar amount
|
|||
---|---|---|---|---|---|
(ii) |
Current ratio
|
enter amount rounded to 2 decimal places
|
:1 | ||
(iii) |
Free cash flow
|
$enter a dollar amount
|
|||
(iv) |
Debt to assets ratio
|
enter percentages rounded to 1 decimal place
|
% | ||
(v) |
Earnings per share
|
$enter a dollar amount rounded to 2 decimal places
|
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