Based on the following ratios and percentages, complete the following Income Statement and Balance Sheet of Kristine Corporation for the year ended Dec. 31, 2019 Sales ( 80% on credit) Less: Cost of Goods Sold P? (1) (2) Gross Profit 2,100,000 Less: Operating Expenses Operating Income Less: Interest expense (3) (4) (5) (6) (7) (8) Net Income before tax ? Less : Income tax ( 30%) ? Net Income after tax Balance Sheet Cash ? (9) (10) 12% Bonds Payable (11) (12) (13) (14) (15) (16) (17) (18) Current Liabilities ? (19) (20) (21) (22) (23) (24) (25) (26) (27) (28) Accounts receivable ? Inventory Prepaid expenses Total Current Assets Total Liabilities ? 10 %Preferred Stock ? Common Stock (P100 par) ? Property and equipment ? Less: Accumulated Deprn. Prop. & Equip. , net Intangible Assets Total Contributed Capital ? Premium on Common Stock Retained Earnings Total Stockholders' Equity ? Total Liab, & Stock. Equity ? ? Total Assets ? !! Additional Information : 9. No. of times interest is earned 10. Debt/equity ratio 11. % of Premium to Common stock to Common Stock 20 % 1. Receivable turnover 8 times 31.25 times 6 times 0. 25: 1 2. Inventory turnover 3. Current ratio 3.0: 1 4. Quick asset ratio 5. Gross Profit ratio 6. Rate of return on sales 7. Earnings per share 1.5: 1 12. Ratio of current liabilities to total liabilities 60 % 35 % 16.94 % 14. Ratio of Accum. Dep'n to Property and Equipment 1:3 P46.50 13. Ratio of Intangible Assets to Total Assets 20:1 15. Preferred dividends P 86,400 8. Asset Turnover 1.20 times
Based on the following ratios and percentages, complete the following Income Statement and Balance Sheet of Kristine Corporation for the year ended Dec. 31, 2019 Sales ( 80% on credit) Less: Cost of Goods Sold P? (1) (2) Gross Profit 2,100,000 Less: Operating Expenses Operating Income Less: Interest expense (3) (4) (5) (6) (7) (8) Net Income before tax ? Less : Income tax ( 30%) ? Net Income after tax Balance Sheet Cash ? (9) (10) 12% Bonds Payable (11) (12) (13) (14) (15) (16) (17) (18) Current Liabilities ? (19) (20) (21) (22) (23) (24) (25) (26) (27) (28) Accounts receivable ? Inventory Prepaid expenses Total Current Assets Total Liabilities ? 10 %Preferred Stock ? Common Stock (P100 par) ? Property and equipment ? Less: Accumulated Deprn. Prop. & Equip. , net Intangible Assets Total Contributed Capital ? Premium on Common Stock Retained Earnings Total Stockholders' Equity ? Total Liab, & Stock. Equity ? ? Total Assets ? !! Additional Information : 9. No. of times interest is earned 10. Debt/equity ratio 11. % of Premium to Common stock to Common Stock 20 % 1. Receivable turnover 8 times 31.25 times 6 times 0. 25: 1 2. Inventory turnover 3. Current ratio 3.0: 1 4. Quick asset ratio 5. Gross Profit ratio 6. Rate of return on sales 7. Earnings per share 1.5: 1 12. Ratio of current liabilities to total liabilities 60 % 35 % 16.94 % 14. Ratio of Accum. Dep'n to Property and Equipment 1:3 P46.50 13. Ratio of Intangible Assets to Total Assets 20:1 15. Preferred dividends P 86,400 8. Asset Turnover 1.20 times
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...
Related questions
Topic Video
Question
Transcribed Image Text:Based on the following ratios and percentages, complete the following Income Statement and
Balance Sheet of Kristine Corporation for the year ended Dec. 31, 2019
Sales ( 80% on credit)
P ?
(1)
(2)
Less: Cost of Goods Sold
Gross Profit
Less: Operating Expenses
Operating Income
Less: Interest expense
2,100,000
?
?
(3)
(4)
(5)
(6)
(7)
Net Income before tax
?
Less : Income tax ( 30%)
?
Net Income after tax
(8)
Balance Sheet
Cash
?
(9)
(10)
(11)
(12)
(13)
(14)
(15)
(16)
(17)
(18)
Current Liabilities
?
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(28)
Accounts receivable
12% Bonds Payable
Inventory
Prepaid expenses
Total Current Assets
Total Liabilities
?
?
10 %Preferred Stock
Common Stock (P100 par)
?
Property and equipment ?
Less: Accumulated Deprn.
Prop. & Equip. , net
Intangible Assets
Total Assets
Total Contributed Capital ?
Premium on Common Stock
Retained Earnings
Total Stockholders' Equity ?
Total Liab. & Stock. Equity
?
=====
Additional Information :
1. Receivable turnover
2. Inventory turnover
3. Current ratio
4. Quick asset ratio
5. Gross Profit ratio
6. Rate of return on sales
7. Earnings per share
8. Asset Turnover
8 times
6 times
3.0: 1
9. No. of times interest is earned
10. Debt/equity ratio
11. % of Premium to Common stock to Common Stock 20 %
31.25 times
0. 25 : 1
1.5: 1
12. Ratio of current liabilities to total liabilities
60 %
35 %
16.94 % 14. Ratio of Accum. Rep'n to Property and Equipment
P46.50
13. Ratio of Intangible Assets to Total Assets
20:1
1:3
P 86,400
15. Preferred dividends
1.20 times
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
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.Recommended textbooks for you
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning
Financial Accounting: The Impact on Decision Make…
Accounting
ISBN:
9781305654174
Author:
Gary A. Porter, Curtis L. Norton
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Fundamentals Of Financial Management, Concise Edi…
Finance
ISBN:
9781337902571
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning