Horngren's Financial & Managerial Accounting, The Managerial Chapters (6th Edition)
6th Edition
ISBN: 9780134486857
Author: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura
Publisher: PEARSON
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Chapter D, Problem 2QC
To determine
Identify the information that would result in the horizontal analysis of Corporation L’s balance sheet.
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2. Calculate each ratio for Company A using the 2020 information from the balance sheets and income
statements given below.
Current Ratio
Quick Ratio
Debt/Equity
Times Interest Earned
Inventory Turnover
Return on Assets (ROA)
Return on Equity (ROE)
Market-to-book Ratio
Company A Consolidated Balance Sheet (in thousands)
December 31
2020
2019
Assets
Current Assets:
Cash and Cash Equivalents
$380,626
$349,953
Accounts Receivable, net
$80,545
$62,312
Inventory
$30,096
$21,555
Prepaid Expenses and other current assets
$57,076
$54,129
Total Current Assets
$548,343
$914,794
Property and Equipment
$1,458,690
$1,379,254
Operating Lease Assets
$2,800,222
$1,258,293
Compute the following ratiosat December 31, 2019:
i.Current ratio
ii.Acid-test Ratio
iii.Account Receivables Turnover
iv.Average collection period
v.Inventory Turnover
vi.Days in inventory
vii.Profit margin
viii.Debts to Asset ratio
ix.Return on Assets
x.Times Interest Earned
You have been presented with the following selected information from the financial statements of one of Canada's largest dairy
producers, Saputo Inc. (in $ millions):
Statement of financial position
2021
2020
2019
Accounts receivable
$1,217
$1,372
$1,248
Inventory
2,294
2,221
1,681
Total current assets
3,948
4,069
3,134
Total assets
13,123
13,793
9,886
Current liabilities
2,146
2,494
1,932
Total liabilities
6,679
7,234
4,465
Statement of income
Sales
$14,294
$14,944
$13,502
Cost of goods sold
9,575
10,181
9,179
Interest expense
79
96
67
Income tax expense
218
217
230
Net income
626
583
755
Chapter D Solutions
Horngren's Financial & Managerial Accounting, The Managerial Chapters (6th Edition)
Ch. D - Prob. 1TICh. D - Prob. 2TICh. D - Prob. 3TICh. D - Prob. 4TICh. D - Prob. 5TICh. D - Prob. 6TICh. D - Prob. 7TICh. D - Prob. 8TICh. D - Prob. 9TICh. D - Prob. 10TI
Ch. D - Prob. 1QCCh. D - Prob. 2QCCh. D - Vertical analysis of Libertys balance sheet for...Ch. D - Prob. 4QCCh. D - Libertys inventory turnover during 2019 was...Ch. D - Prob. 6QCCh. D - Prob. 7QCCh. D - Prob. 8QCCh. D - Prob. 9QCCh. D - Prob. 10QCCh. D - Prob. 1RQCh. D - Prob. 2RQCh. D - Prob. 3RQCh. D - Prob. 4RQCh. D - Prob. 5RQCh. D - Prob. 6RQCh. D - Prob. 7RQCh. D - Prob. 8RQCh. D - Prob. 9RQCh. D - Prob. 10RQCh. D - Prob. 11RQCh. D - Prob. 12RQCh. D - Prob. 13RQCh. D - Prob. 1SECh. D - Verifine Corp. reported the following on its...Ch. D - Prob. 3SECh. D - Prob. 4SECh. D - Prob. 5SECh. D - Prob. 6SECh. D - Prob. 7SECh. D - Accels Companies, a home improvement store chain,...Ch. D - Prob. 9SECh. D - Prob. 10SECh. D - Prob. 11SECh. D - Prob. 12SECh. D - Prob. 13ECh. D - Prob. 14ECh. D - Prob. 15ECh. D - Refer to the data presented for Mulberry Designs,...Ch. D - Prob. 17ECh. D - Prob. 18ECh. D - Prob. 19ECh. D - Micatin, Inc.s comparative income statement...Ch. D - Prob. 21ECh. D - Prob. 22ECh. D - Prob. 23APCh. D - Prob. 24APCh. D - Prob. 25APCh. D - Prob. 26APCh. D - Comparative financial statement data of Sanfield,...Ch. D - Prob. 28APCh. D - Prob. 29APCh. D - Prob. 30BPCh. D - Prob. 31BPCh. D - Prob. 32BPCh. D - Prob. 33BPCh. D - Prob. 34BPCh. D - Prob. 35BPCh. D - In its annual report, XYZ Athletic Supply, Inc....Ch. D - Prob. 38PCh. D - Lance Berkman is the controller of Saturn, a dance...Ch. D - Prob. 1EICh. D - Prob. 1FSC
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