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    Prone Inc: financial statements

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    The following data are taken from the financial statements of Prone, Inc. as of the end of the year 2007. The data are in alphabetical order.

    Accounts payable
    $ 28,000
    Net income
    $ 48,000

    Accounts receivable
    66,000
    Other current liabilities
    17,000

    Cash
    54,000
    Total assets
    250,000

    Gross profit
    160,000
    Total liabilities
    200,000

    Income before income taxes
    54,000
    Wages payable
    5,000

    Additional information: The number of average common shares outstanding during the year was 40,000.

    Instructions: Compute the following:
    (a) Current ratio.
    (b) Working capital.
    (c) Earnings per share.
    (d) Debts to total assets ratio.

    show your computations and explain your findings

    © BrainMass Inc. brainmass.com June 3, 2020, 11:24 pm ad1c9bdddf
    https://brainmass.com/business/finance/prone-inc-financial-statements-277686

    Solution Summary

    This solution helps explore financial statements for Prone Inc for 2007.

    $2.19

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