Ratios for the financial statement
Not what you're looking for?
I am have a difficult time figuring out the ratios for the financial statement of Becker, Becker and Becker. Can you help me with computing these ratios?
(See attached file for full problem description)
The balance sheet and income statement for Becker, Becker & Becker are
presented below:
Balance Sheet
Assets
Cash $ 500
Accounts Receivable 1,500
Inventories 500
Current Assets $2,500
Net Fixed Assets 5,000
Total Assets $7,500
Liabilities
Accounts Payable $1,200
Bank Note 300
Total Current Liabilities $1,500
Long Term Debt 4,000
Total Liabilities $5,500
Shareholders Equity
Common Stock $300
Retained Earnings 1,700
Total Shareholder's Equity $2,000
Total Liabilities & Equity $7,500
Income Statement
Net Sales $8,500
Cost of Goods Sold (3,400)
Gross Profit $5,100
Operating Expenses (2,900)
Net Operating Income $2,200
Interest Expense 580
Earnings before taxes $1,620
Income Tax (34%) (551)
Net Income $1,069
Using the above financial statements compute the following ratios: (show your formulas and work!!!) As you can see I have only provided the ending period values so you do not need to average beginning and ending values of assets and equity as in homework three) Eight ratios worth Five points total or 0.625 each.
Current Ratio
Quick Ratio
Total Debt Ratio
Return on Assets
Return on Equity
Operating profit margin
Net Profit Margin
Inventory turnover
If the market value of B&B is $4,000 what is the market to book value ratio? 0.25 points
If there are 1000 shares outstanding what were the earnings per share? 0.25 points
Purchase this Solution
Solution Summary
This provides the steps for computation of ratios for the financial statement
Solution Preview
I am have a difficult time figuring out the ratios for the financial statement of Becker, Becker and Becker. Can you help me with computing these ratios?
(See attached file for full problem description)
Please see the attached file.The balance sheet and income statement for Becker, Becker & Becker are
presented below:
Balance Sheet
Assets
Cash $ 500
Accounts Receivable 1,500
Inventories 500
Current Assets $2,500
...
Purchase this Solution
Free BrainMass Quizzes
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.
Balance Sheet
The Fundamental Classified Balance Sheet. What to know to make it easy.
SWOT
This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.
Organizational Leadership Quiz
This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.
Operations Management
This quiz tests a student's knowledge about Operations Management