The following summarized balance sheets were prepared for the Gold Company and Mythic Corporation.     Gold Mythic Current assets 350,000 185,000 Land 80,000 25,000 Building, net 250,000 325,000 Goodwill 195,000 100,000 Total Assets 875,000 635,000       Accounts payable 115,000 85,000 Bonds payable 170,000 150,000 Common stocks, P10 par 150,000 75,000 APIC 200,000 40,000 Retained Earnings 240,000 285,000 Total Liabilities and Equity 875,000 635,000   The appraised values of the Mythic Corporation’s land and buildings are P20,000 and P258,000, respectively. Gold issues 15,250 shares of common stocks with a fair value of P12 each. Gold also pays out-of-pocket costs for the following:   Broker's fee                                                           10,000 Professional fees to valuers                                     3,000 Legal fees                                                                     2,000 Indirect acquisition costs                                           5,000 Printing cost of stock certificates                             3,000 Costs to issue and register the stocks                  30,000   The share premium and retained earnings of Gold Company after the merger will be Group of answer choices 197,500; 265,000 200,000; 262,500 272,500; 280,000 197,500; 262,500

On January 1, Park Corporation and Strand Corporation had condensed balance sheets as follows: Items Current assets Noncurrent assets Total assets Current liabilities Long-term debt Stockholders' equity Total liabilities and equities Park $ 74,500 92,250 $ 166,750 $ 32,000 51,750 83,000 $166,750 Strand $ 16,050 46,200 $ 62,250 $ 12,250 0 50,000 $ 62,250 On January 2, Park borrowed $66,000 and used the proceeds to obtain 80 percent of the outstanding common shares of Strand. The acquisition price was considered proportionate to Strand's total fair value. The $66,000 debt is payable in 10 equal annual principal payments, plus interest, beginning December 31. The excess fair value of the investment over the underlying book value of the acquired net assets is allocated to inventory (60 percent) and to goodwill (40 percent). Required: On a consolidated balance sheet as of January 2, calculate the amounts for each of the following: a. Current assets b. Noncurrent assets c. Current…

Using the following financial information, this firm's total debt to total capital ratio is closest to: Cash $  10,000 Accounts payable $  30,000 Accounts receivables     50,000 Notes payable     20,000 Inventories   150,000 Total current liabilities $  50,000 Total current assets $210,000 Long-term debt     50,000 Net fixed assets     90,000 Common equity   200,000 Total assets $300,000 Total liabilities & equity $300,000   Question 35 options:   8%   17%   67%   26%

Selected financial data for Wilmington Corporation is presented below.   WILMINGTON CORPORATION Balance Sheet As of December 31   Year 7 Year 6 Current Assets     Cash and cash equivalents $    634,527 $   335,597 Marketable securities 166,106 187,064 Accounts receivable (net) 284,226 318,010 Inventories 466,942 430,249 Prepaid expenses 60,906 28,060 Other current assets 83,053 85,029 Total Current Assets 1,695,760 1,384,009       Property, plant and equipment 1,384,217 625,421 Long-term investment 568,003 425,000 Total Assets $3,647,980 $2,434,430       Current Liabilities     Short-term borrowings $   306,376 $    170,419 Current portion of long-term debt 155,000 168,000 Accounts payable 279,522 314,883 Accrued liabilities 301,024 183,681 Income taxes payable 107,509 196,802 Total Current Liabilities 1,149,431…

Calculate the weights of capital components based on the book value balance sheet Weight of each source = Book value of source / Total book value of liabilities & equity weight of debt: Wd    weight of preferred stock: Wp    weight of total common equity: We    Current assets   $2,000 Net fixed assets   3,000 Total assets   $5,000       Total debt   $2,100 Preferred stock   250      Common stock   1,300      Retained earnings   1,350 Total common equity   $2,650 Total liabilities & equity   $5,000 The firm's marginal tax rate is 35%.  The firm's currently outstanding 10% annual coupon rate long-term debt sells at $1,051.11. The debt matures in 7 years. Coupon interest is paid semiannually. Skye's preferred stock pays a dividend of $3.30 per share, and its preferred stock sells for $30 per share.  Skye's earnings per share last year were $3.20.  The common stock sells for $55.00, last year’s dividend (D0) was $2.10, and a flotation cost (i.e,…

From the following information compute the following ratios:d) Debt to Equity Ratioe) Proprietary Ratio

Data pertaining to the current position of Forte Company follow: Cash $440,000 Marketable securities 175,000 Accounts and notes receivable (net) 335,000 Inventories 700,000 Prepaid expenses 44,000 Accounts payable 180,000 Notes payable (short-term) 230,000 Accrued expenses 290,000   Required: 1. Compute (A) the working capital, (B) the current ratio, and (C) the quick ratio. Round ratios to one decimal place. 2. Compute the working capital, the current ratio, and the quick ratio after each of the following transactions and record the results in the appropriate columns of the table provided. Consider each transaction separately and assume that only that transaction affects the data given. Round ratios to one decimal place. A. Sold marketable securities at no gain or loss, $80,000. B. Paid accounts payable, $120,000. C. Purchased goods on account, $130,000. D. Paid notes payable, $105,000. E. Declared a cash dividend, $140,000. F. Declared a…

The following information pertains to Walrus Inc.:   Cash $60,000 Accounts receivable 170,000 Inventory 100,000 Plant assets (net) 430,000 Total assets $760,000 Accounts payable $110,000 Accrued taxes and expenses payable 42,000 Long-term debt 120,000 Common stock ($10 par) 260,000 Paid-in capital in excess of par 50,000 Retained earnings 330,000 Total equities $760,000 Net sales (all on credit) $2,000,000 Cost of goods sold 1,400,000 Net income 120,000 Required:   Compute the following:     d) Book value per share

Data pertaining to the current position of Forte Company follow:Cash                                                                         $412,500Marketable securities                                                187,500Accounts and notes receivable (net)                          300,000Inventories                                                                 700,000Prepaid expenses                                                         50,000Accounts payable                                                       200,000Notes payable (short-term)                                        250,000Accrued expenses                                                       300,000 Instructions1. Compute (a) the working capital, (b) the current ratio, and (c) the quick ratio. Round ratios in parts b through j to one decimal place.2. List the following captions on a sheet of paper:Transaction        Working Capital            Current Ratio        Quick Ratio Compute the working capital, the…

ABCD Corp Balance Sheet and Income Statement for the period as at December 31, 2014   Balance Sheet Assets    RM Cash   72,000 Accounts receivable  439,000 Inventories  894,000 Total current assets1,405,000 Fixed Assets   431,000 Total Assets1,836,000   Liabilities Accounts and Notes payable  432,000 Accruals  170,000 Total Current Liabilities  602,000 Long term debt  404,290 Common stock  575,000 Retained Earnings  254,710 Total Liabilities & Equity1,836,000   Income Statement   Sales 4,290,000 Cost of goods sold 3,580,000 Selling, general, and administrative expenses   370,320 Depreciation   159,000 Earnings before taxes (EBT)   180,680 Taxes (40%)     72,272 Net Income   108,408   Per Share Data EPS RM4.71
Cash dividends per share RM0.95 P/E ratio 5 x Market Price (average) RM23.57 Number of Shares Outstanding 23,000   INDUSTRY FINANCIAL RATIO   1. Quick ratio 1.0x 2. Current ratio 2.7x 3. Inventory turnover 7.0x 4. Days sales outstanding 32 days 5. Fixed asset turnover 13.0x 6.…