Please help with the given problem:
Complete the balance sheet given total assets and total liabilities. Assets side,Find values for Cash, Accounts receivable, Inventory, Current assets. Liabilities side find values for Accounts payable, long-term debt, total liabilities, and common equity. Current ratio=6, inventory turnover=8.0, debt ratio=20%, total asset turnover of 1.0, average collection period of 30 days, and gross profit margin of 15%.© BrainMass Inc. brainmass.com December 15, 2020, 4:07 pm ad1c9bdddf
The attached Word document provides a solution on how to prepare a balance sheet with incomplete information.
The remaining parts, of the balance sheet, are calculated through ratios.
The solution provides detailed explanations with calculations, for the problem.
You use the formulas to derive the unknown values
1. Current Ratio = Current ...
The attached solution provides steps and guidelines, on how to complete a balance sheet. The balance sheet is completed by using the relationships, expressed by ratios, between different elements.