Hatfield Corporation reports the following amounts in its 2014 financial statements:
|
At December 31, 2014 |
For the Year 2014 |
|
|
Total assets |
$1,000,000 |
|
|
Total liabilities |
580,000 |
|
|
Total stockholders” equity |
? |
|
|
Interest expense |
$ 20,000 |
|
|
Income tax expense |
100,000 |
|
|
Net income |
150,000 |
Instructions
(a)Compute the December 31, 2014, balance in stockholders’ equity.
(b)Compute the debt to assets ratio at December 31, 2014.
(c)Compute times interest earned for 2014.