Compute the following ratiosat December 31, 2019:i.Current ratioii.Acid-test Ratioiii.Account Receivables Turnoveriv.Average collection periodv.Inventory Turnovervi.Days in inventoryvii.Profit marginviii.Debts to Asset ratioix.Return on Assetsx.Times Interest Earned BALANCE SHEETFor The Year Ended 31* December, 2019ParticularNote No.Amount ($)(I)ASSETS(1) Non-Current Assets(a) Fixed AssetsTangible AssetsLand65,000BuildingEquipmentDelivery Truck(b) Non- Current investment(c) Other Current Assets95,00040,00042,000(2) Current AssetsCurrent InvestmentsInventories21,5001,700Merchandise InventorySuppliesTrade receivableAccounts Receivable51,000Cash & Cash EquivalentsCashMarketable securitiesOther Current AssetsUnearned Rent Revenue2,000Total320,060(I) EQUITY AND LIABILITIES(1)Shareholders FundA Share CapitalB Reserve and Surplus(2)Non-Current Liabilities(a) Long term borrowingsNotes Payable(b) Long-term provisionsAccumulated Depreciation- Buildings54,40097,99030,000Accumulated Depreciation- New Delivery TruckAccumulated Depreciation- Equipment33,00016,80018,000(3) Current LiabilitiesShort- term borrowingsTrade payablesAccounts payable19,3006,000Notes payableShort Term ProvisionProvision for Doubtful Debts11,270Other Current LiabilitiesBank Overdraft11,70018,0003,600320,060Salaries & wages payableInterest PayableTotal

Ratio analysis: This is the quantitative analysis of financial statements of a business enterprise.…

Compute the following ratiosat December 31, 2019: i.Current ratio ii.Acid-test Ratio iii.Account Receivables Turnover iv.Average collection period v.Inventory Turnover vi.Days in inventory vii.Profit margin viii.Debts to Asset ratio ix.Return on Assets x.Times Interest Earned

Compute the following ratiosat December 31, 2019: i.Current ratio ii.Acid-test Ratio iii.Account Receivables Turnover iv.Average collection period v.Inventory Turnover vi.Days in inventory vii.Profit margin viii.Debts to Asset ratio ix.Return on Assets x.Times Interest Earned

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter11: Depreciation, Depletion, Impairment, And Disposal

Section: Chapter Questions

Problem 17P: On December 31, 2019, Vail Company owned the following assets: Vail computes depreciation and...

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