Al-Itihad Corporation Balance Sheet December 31, 2019 Assets Liability & Equity Current Assets Current Liability Cash $5,000 Accounts payable 22,000 Short term securities 10,000 Accrual Account 8,000 Account Receivables 30,000 Short term debt 6,000 Inventory 32,000 Total Current Liability 36,000 Long-term debt 40,000 Total Current Assets 77,000 Total Liability 76,000 Long term Assets Equity Net Property & equipment 70,000 Common Stocks 64,000 Retained earnings 17,000 Total Equity 81,000 Total Liability and Equity 157,000 Other assts 10000 Total Assets 157,000 Sur Corporation Income Statement December 31, 2019 Other Financial information of Sur corporation December 31, 2019 Net sales (revenue) $150,000 · Average Number of Common shares outstanding 16,000 Shares · Market price of Common share $3.5 Cost of goods sold 80,000 Gross profit 70,000 Operating expenses 30,000 EBIT- (Operating profit) 40,000 Interest expense 10,000 EBT- ( Earnings before taxes) 30,000 Income tax 10,000 Net Income (net profit) 20,000 You have to find the following ratios for Al-Itihad Corporation, each one carry Time interest earned Current ratio Cash ratio
|
Al-Itihad Corporation Balance Sheet December 31, 2019 |
|||
|
Assets |
|
Liability & Equity |
|
|
Current Assets |
|
Current Liability |
|
|
Cash |
$5,000 |
Accounts payable |
22,000 |
|
Short term securities |
10,000 |
Accrual Account |
8,000 |
|
Account Receivables |
30,000 |
Short term debt |
6,000 |
|
Inventory |
32,000 |
Total Current Liability |
36,000 |
|
Long-term debt |
40,000 |
||
|
Total Current Assets |
77,000 |
Total Liability |
76,000 |
|
Long term Assets |
|
Equity |
|
|
Net Property & equipment |
70,000 |
Common Stocks |
64,000 |
|
|
17,000 |
||
|
Total Equity |
81,000 |
||
|
Total Liability and Equity |
157,000 |
||
|
Other assts |
10000 |
|
|
|
Total Assets |
157,000 |
|
Sur Corporation Income Statement December 31, 2019 |
|
Other Financial information of Sur corporation December 31, 2019 |
|
Net sales (revenue) |
$150,000 |
· Average Number of Common shares outstanding 16,000 Shares · Market price of Common share $3.5
|
|
Cost of goods sold |
80,000 |
|
|
Gross profit |
70,000 |
|
|
Operating expenses |
30,000 |
|
|
EBIT- (Operating profit) |
40,000 |
|
|
Interest expense |
10,000 |
|
|
EBT- ( Earnings before taxes) |
30,000 |
|
|
Income tax |
10,000 |
|
|
Net Income (net profit) |
20,000 |
You have to find the following ratios for Al-Itihad Corporation, each one carry
- Time interest earned
- Current ratio
- Cash ratio
Trending now
This is a popular solution!
Learn your way
Includes step-by-step video
Step by step
Solved in 2 steps
