Balance Sheet At December 31, 2012 Assets Liabilities and Equity $ 72 $60 Cash Accounts Receivable Merchandise Inventory Accounts Payable Bank Loan, non-current 88 150 100 Prepaid Expenses Property, Plant, and Equipment, at carrying amount Total Assets 40 Preferred Shares 60 Common Shares 250 Retained Earnings Total Liabilities and Equity 320 100 $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold Gross Profit 144 96 Operating Expenses Salaries $ 4 Depreciation 50 Income from Operations 46 Less: Interest Income before Income Taxes 38

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter7: Accounting Information Systems
Section: Chapter Questions
Problem 2EB: The following information pertains to Crossroads Consulting, Inc. Match each of the following parts...
icon
Related questions
Question

Hello please see attached for the question... thank you.

AutoSave
Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC -
P Search
Off
Shiela Tabula
ST
File
Home
Insert
Draw
Design
Layout
References
Mailings
Review
View
Help
A Share
P Comments
X Cut
Calibri (Body)
- 12 - A A
Aa v A
AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD
O Find -
B Copy
. Replace
Paste
BIU - ab x,
I Normal T No Spac. Heading 1 Heading 2
Subtle Em.. Emphasis -
Editor
Dictate
x A
. I v A -
三 =。 。田
Subtitle
Title
S Format Painter
A Select
Clipboard
Font
Paragraph
Styles
Editing
Voice
Editor
Q3- Consider the following information:
Salinas Limited
Balance Sheet
At December 31, 2012
Assets
Liabilities and Equity
Cash
$ 72
Accounts Payable
$ 60
Accounts Receivable
88
Bank Loan, non-current
150
Merchandise Inventory
Prepaid Expenses
Property, Plant, and Equipment,
at carrying amount
100
40
Preferred Shares
60
Common Shares
Retained Earnings
Total Liabilities and Equity
250
320
100
Total Assets
$620
$620
Salinas Limited
Income Statement
For the Year Ended December 31, 2012
Sales
$240
Cost of Goods Sold
144
Gross Profit
96
Operating Expenses
Salaries
$ 44
Depreciation
6.
50
Income from Operations
46
Less: Interest
8
Income before Income Taxes
38
Less: Income Taxes
18
Net Income
$ 20
Page 5 of 6
524 words
D Focus
100%
10:34 PM
O Type here to search
2021-07-11
Transcribed Image Text:AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aa v A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, I Normal T No Spac. Heading 1 Heading 2 Subtle Em.. Emphasis - Editor Dictate x A . I v A - 三 =。 。田 Subtitle Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Q3- Consider the following information: Salinas Limited Balance Sheet At December 31, 2012 Assets Liabilities and Equity Cash $ 72 Accounts Payable $ 60 Accounts Receivable 88 Bank Loan, non-current 150 Merchandise Inventory Prepaid Expenses Property, Plant, and Equipment, at carrying amount 100 40 Preferred Shares 60 Common Shares Retained Earnings Total Liabilities and Equity 250 320 100 Total Assets $620 $620 Salinas Limited Income Statement For the Year Ended December 31, 2012 Sales $240 Cost of Goods Sold 144 Gross Profit 96 Operating Expenses Salaries $ 44 Depreciation 6. 50 Income from Operations 46 Less: Interest 8 Income before Income Taxes 38 Less: Income Taxes 18 Net Income $ 20 Page 5 of 6 524 words D Focus 100% 10:34 PM O Type here to search 2021-07-11
AutoSave
Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC -
P Search
Off
Shiela Tabula
ST
File
Home
Insert
Draw
Design
Layout
References
Mailings
Review
View
Help
A Share
P Comments
X Cut
Calibri (Body)
- 12 -
A A Aav A
AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD
O Find -
B Copy
. Replace
Paste
BIU - ab x,
Subtle Em.. Emphasis -
Editor
x A
- I vA -
E E E E
I Normal
I No Spac. Heading 1 Heading 2
Subtitle
Dictate
Title
S Format Painter
A Select
Clipboard
Font
Paragraph
Styles
Editing
Voice
Editor
Assume that 80% of sales are on credit, that the average of all balance sheet items is equal to the
year-end figure, that all preferred share dividends have been paid and the total annual preferred
dividend entitlement is $6, and that the number of common shares outstanding is 10.
Required: Calculate the following ratios and percentages
a. Current ratio
b. Return on total assets
c. Sales to total assets
d. Acid-test ratio
e. Times interest earned
f. Earnings per common share
g. Accounts receivable collection period
h. Return on equity
Page 6 of 6
524 words
D Focus
100%
10:35 PM
O Type here to search
2021-07-11
近
Transcribed Image Text:AutoSave Final Exam (Financial Accounting 2) SHIELA TABULA - Saved to this PC - P Search Off Shiela Tabula ST File Home Insert Draw Design Layout References Mailings Review View Help A Share P Comments X Cut Calibri (Body) - 12 - A A Aav A AaBbCcDc AaBbCcDc AaBbC AaBbCcC AaB AaBbccc AaBbCcD AaBbCcD O Find - B Copy . Replace Paste BIU - ab x, Subtle Em.. Emphasis - Editor x A - I vA - E E E E I Normal I No Spac. Heading 1 Heading 2 Subtitle Dictate Title S Format Painter A Select Clipboard Font Paragraph Styles Editing Voice Editor Assume that 80% of sales are on credit, that the average of all balance sheet items is equal to the year-end figure, that all preferred share dividends have been paid and the total annual preferred dividend entitlement is $6, and that the number of common shares outstanding is 10. Required: Calculate the following ratios and percentages a. Current ratio b. Return on total assets c. Sales to total assets d. Acid-test ratio e. Times interest earned f. Earnings per common share g. Accounts receivable collection period h. Return on equity Page 6 of 6 524 words D Focus 100% 10:35 PM O Type here to search 2021-07-11 近
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Public Issue
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Quickbooks Online Accounting
Quickbooks Online Accounting
Accounting
ISBN:
9780357391693
Author:
Owen
Publisher:
Cengage
Auditing: A Risk Based-Approach (MindTap Course L…
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
SWFT Essntl Tax Individ/Bus Entities 2020
SWFT Essntl Tax Individ/Bus Entities 2020
Accounting
ISBN:
9780357391266
Author:
Nellen
Publisher:
Cengage