compute the specified ratios using hilda company s balance sheet at december 31 2011 662659
Aug 30, 2021 | Uncategorized
| Compute the specified ratios using Hilda Company’s balance sheet at December 31, 2011. |
|
|
|
| Assets |
|
|
| Cash |
$ |
15,000 |
| Marketable securities |
|
8,000 |
| Accounts receivable |
|
13,000 |
| Inventory |
|
11,000 |
| Property and equipment |
|
170,000 |
| Accumulated depreciation |
|
(12,500) |
|
|
|
| Total assets |
$ |
204,500 |
|
|
|
| Equities |
|
|
| Accounts payable |
$ |
8,500 |
| Current notes payable |
|
3,500 |
| Mortgage payable |
|
4,500 |
| Bonds payable |
|
21,500 |
| Common stock |
|
114,000 |
| Retained earnings |
|
52,500 |
|
|
|
| Total liabilities and stockholders’ equity |
$ |
204,500 |
|
|
|
|
|
The average number of common stock shares outstanding during 2011 was 880 shares. Net income for the year was $15,000.
|
| Required |
| Compute each of the following: |
| (a) |
Current ratio(Round your answer to 2 decimal places.) |
| (b) |
Earnings per share(Round your answer to 2 decimal places. Omit the “$” sign in your response.) |
| Earnings per share |
$per share |
| (c) |
Quick (acid test) ratio(Round your answer to 2 decimal places.) |
| Quick (acid test) ratio |
: 1 |
| (d) |
Return on investment(Round your answer to 1 decimal places. Omit the “%” sign in your response.)
|
| (e) |
Return on equity(Round your answer to 1 decimal places. Omit the “%” sign in your response.) |
| (f) |
Debt to Equity Ratio(Round your answer to 1 decimal places.Omit the “%” sign in your response.) |
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