Bruno Inc.'s Financial Statement for years 2014-2015. Compute for theBruno Inc. Year 2015 Debt to Asset Ratio. (Answer Format: 12.23%, ifcomputed answer is 12.343% answer should be 12.34%, if computedanswer is 12.347% answer should be 12.35%)INCOME STATEMENTS20142015BALANCE SHEETSAssetsCash20142015Net sales$ 4,760 S 5,000S 60503,5603,800ST Investments40.COGS (excl. depr.)Depreciation170200Accounts receivable380500480500Inventories8201,000Other operating expensesEBITS 550500Total CA$ 1,300$ 1,550Interest expense100120Net PP&E1,7002,000Pre-tax earningsS450S380Total assets$ 3,000$ 3,550.Taxes (40%)180152NI before pref. div.S270$ 228 Liabilities and equityPreferred div.88S200Accounts payableAccrualsNet income$262$ 220300280Notes payableTotal CLOther DataS780Common dividends$48$501,0001,200Long-term bondsTotal liabilitiesAddition to RE$214$170$ 1,600$ 1,980Tax rate40%40%100100Preferred stockCommon stockShares of common stock5050500500Earnings per share$5.24$4.40Retained earnings800970Dividends per share$0.96$1.00Total common equityS 1,300 $ 1,470Price per share$40.00$27.00Total liabs & equity$ 3,000$ 3,550sS190 $280130600 S

Financial ratios are those which provide a summary of the accounts of a company and helps an…

Bruno Inc.'s Financial Statement for years 2014-2015. Compute for the Bruno Inc. Year 2015 Debt to Asset Ratio. (Answer Format: 12.23%, if computed answer is 12.343% answer should be 12.34%, if computed answer is 12.347% answer should be 12.35%)

Bruno Inc.'s Financial Statement for years 2014-2015. Compute for the Bruno Inc. Year 2015 Debt to Asset Ratio. (Answer Format: 12.23%, if computed answer is 12.343% answer should be 12.34%, if computed answer is 12.347% answer should be 12.35%)

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 4PB

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Question

Bruno Inc.'s Financial Statement for years 2014-2015. Compute for the
Bruno Inc. Year 2015 Debt to Asset Ratio. (Answer Format: 12.23%, if
computed answer is 12.343% answer should be 12.34%, if computed
answer is 12.347% answer should be 12.35%)
INCOME STATEMENTS
2014
2015
BALANCE SHEETS
Assets
Cash
2014
2015
Net sales
$ 4,760 S 5,000
S 60
50
3,560
3,800
ST Investments
40
.
COGS (excl. depr.)
Depreciation
170
200
Accounts receivable
380
500
480
500
Inventories
820
1,000
Other operating expenses
EBIT
S 550
500
Total CA
$ 1,300
$ 1,550
Interest expense
100
120
Net PP&E
1,700
2,000
Pre-tax earnings
S
450
S
380
Total assets
$ 3,000
$ 3,550
.
Taxes (40%)
180
152
NI before pref. div.
S
270
$ 228 Liabilities and equity
Preferred div.
8
8
S
200
Accounts payable
Accruals
Net income
$
262
$ 220
300
280
Notes payable
Total CL
Other Data
S
780
Common dividends
$48
$50
1,000
1,200
Long-term bonds
Total liabilities
Addition to RE
$214
$170
$ 1,600
$ 1,980
Tax rate
40%
40%
100
100
Preferred stock
Common stock
Shares of common stock
50
50
500
500
Earnings per share
$5.24
$4.40
Retained earnings
800
970
Dividends per share
$0.96
$1.00
Total common equity
S 1,300 $ 1,470
Price per share
$40.00
$27.00
Total liabs & equity
$ 3,000
$ 3,550
s
S
190 $
280
130
600 S

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