Chapter 1, Problem 2BE

Resolve and explain the result of the current ratio for XYZ Company and compare andexplain this result with the Industry average, where current liabilities = $581,000 andcurrent assets = $832,000. a. Resolve the current ratio for XYZ Company b.Explain the result of the current ratio for XYZ Company c.Compare and explain the result of the current ratio for XYZ Company with the Industryaverage.

What is total assets on this company's balance sheet?         What is total current liabilities on this company's balance sheet?         What is the correct order for the current liabilities section of the balance sheet? a. Accounts payable, payments to suppliers, deferred revenue, income tax payable b. Bank loan payable, Income tax payable, Accounts payable, Deferred revenue c. Accounts payable, Income tax payable, Payments to suppliers d. Accounts payable, Deferred revenue, Income tax payable e. Accounts payable, Income tax payable Enter the letter that corresponds to your choice. (A B C D E)         What is total liabilities on this company's balance sheet?         What is total equity on this company's balance sheet?         What is the correct order for the equity section of the balance sheet? a. Owners' Capital, Retained earnings b. Retained earnings, Owners' capital c. Retained earnings, Owners' capital, Profit d. Retained earnings, Profit, Owners' capital e.…

CAS Company has net sales of $200,000, cost of goods sold $120,000, and operating expenses of $50,000. What is the gross profit? What is the net income? Some principles should be followed in the development of an accounting information system. Identify and explain each of the principles

The following financial statements apply to Adams Company: ADAMS COMPANY Income Statements for the Years Ending December 31 Year 1 $180,400 Revenues Expenses Cost of goods sold Selling expenses General and administrative expenses Interest expense Income tax expense Total expenses Net income Assets Current assets Cash Marketable securities Accounts receivable Inventories Prepaid expenses Total current assets Plant and equipment (net) Intangibles Total assets Liabilities and Stockholders Equity Liabilities Current liabilities Accounts payable Other Total current liabilities Bonds payable Total liabilities $ 220,800 Stockholders equity Common stock (49,000 shares) 124, 600 20,200 10,000 2.100 20,400 177,300 $ 43,500 ADAMS COMPANY Balance Sheets As of December 31 F Retained earnings Total stockholders equity Total liabilities and stockholders' equity 102, 100 18.200 9,000 2,100 17,600 149,000 $ 31,400 $ 5,100 1,800 36,000 101, 200 4,800 148,900 107,000 20,600 $ 276,500 $38,200 16,500…

The following information pertains to Diane Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit. Use this information to answer the question that follow. Assets Cash and short-term investments $40,936 Accounts receivable (net) 32,902 Inventory 36,625 Property, plant, and equipment 280,196 Total assets $390,659     Liabilities and Stockholders' Equity   Current liabilities $69,773   Long-term liabilities 90,745   Stockholders' equity—Common 230,141   Total liabilities and stockholders' equity $390,659   Income Statement   Net Sales $98,683   Cost of goods sold (39,473)   Gross margin 59,210   Operating expenses (29,056)   Interest expense  (4,934)   Net income $25,220     Number of shares of common stock outstanding 5,105   Market price of common stock $32   Total dividends paid $9,000   Cash provided by operations $40,936 Using the data provided for…

Consider the following company’s balance sheet and income statement.  For this company, calculate the following: Current ratio. Number of days’ sales in receivables. Sales to total assets.

Use the accounting equation to answer each of the following questions. (a) The liabilities of Culver Company are $86,000. Common stock account is $156,000; dividends are $37,000; revenues, $448,000; and expenses, $316,000. What is the amount of Culver Company's total assets? Total assets $ (b) The total assets of Sheridan Company are $56,000. Common stock account is $19,500; dividends are $8,500; revenues, $51,000; and expenses, $38.500. What is the amount of the company's total liabilities? Total liabilities. $ (c) The total assets of Dierdorf Co. are $630,000 and its liabilities are equal to two-thirds of its total assets. What is the amount of Dierdorf Co's stockholders' equity? Stockholders equity

Use the following information from XYZ Company's balance sheet to answer the next six questions: Assets a. b. c. d. a. b. 30. C. d. Cash........ Marketable Securities Accounts Receivable Inventory........ Property and Equipment. Accumulated Depreciation. Total Assets a. b. c. d. Liabilities and Stockholders' Equity Accounts Payable. Notes Payable (current). Mortgage Payable (long-term). Bonds Payable (long-term). Common Stock, $50 Par.. The average number of common stock shares outstanding during the year was 840 shares. Net earnings for the year were $6,300. 25. XYZ's current ratio is 6.0 to 1. 5.5 to 1. 26. XYZ's quick (acid-test) ratio is 4.0 to 1. 4.5 to 1. 3.5 to 1. 3.0 to 1. Paid-in Capital in Excess of Par......... Retained Earnings............ Total Liabilities, and Stockholders' Equity 4.0 to 1. 4.5 to 1. ***** 27. XYZ's earnings per share is $7.50 per share. $7.00 per share. $0.13 per share. $6,300 per share. 28. XYZ's return on assets is a. 6.9% b. 7.9% C. 14.6% d. 23.4% 29.…

What is the  primary purpose of the  Statement of  Affairs ? a. To determine how much is owed by the  customers b. To determine  the amount for  the  owners  equity c. To determine how is  left  in the bank account d. To determine if there  was a  gain or loss  on disposal       The term Margin is determined by which of the  following operations? a. Adding  all the  incomes b. Dividing gross  profit  by sales   c. Subtracting   expenses  from sales d. Multiplying capital by  a  decimal      The Sandy Bay   is a trader in sand.  On December 31, 2010 the closing inventory was     completely destroyed by flood rains. The following information is available: (1) Inventory at December  1, 2010  at cost $31,400 (2) Purchases for December 2010  $55,600 (3) Sales for December 2010  $88,800 (4) Standard mark-up  is  25% Based on this information, what was the value of the closing inventory?                                                     a. $15,960   b. $17,760 c. $20,400   d. $25,800…