Consider the following information: Assets Cash Accounts Receivable (less allowance) Inventories Property, Plant and Equipment Long-term Investments Total Assets Liabilities Gil's Fish and Tackle, Incorporated Balance Sheet At December 31, 2021 Accounts Payable Current Portion of Long-Term Debt Long-Term Notes Payable Total Liabilities. Stockholders' Equity Contributed Capital Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity Operating Expenses Operating Income Other Expenses Interest Expense Sales Revenue Operating Expenses Salaries and Wages Expense Operating and Administrative Expenses Depreciation Expense Gil's Fish and Tackle, Incorporated Income Statement For the year ending December 31, 2021 Net Income Income Before Income Tax Expense Income Tax Expense $ 22,200 169,100 68,300 102,800 30,000 $ 392,400 $ 49 68,800 100,000 218,000 100,000 74,400 174,400 $ 392,400 $ 2,765,000 1,850,500 286,700 335,400 2,472,600 292,400 17,000 275,400 103,800 $ 171,600 Required: Calculate the debt-to-assets ratio and the times interest earned. (Round your answers to 2 decimal places.)

Consider the following information: Assets Cash Accounts Receivable (less allowance) Inventories Property, Plant and Equipment Long-term Investments Total Assets Liabilities Gil's Fish and Tackle, Incorporated Balance Sheet At December 31, 2021 Accounts Payable Current Portion of Long-Term Debt Long-Term Notes Payable Total Liabilities. Stockholders' Equity Contributed Capital Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity Operating Expenses Operating Income Other Expenses Interest Expense Sales Revenue Operating Expenses Salaries and Wages Expense Operating and Administrative Expenses Depreciation Expense Gil's Fish and Tackle, Incorporated Income Statement For the year ending December 31, 2021 Net Income Income Before Income Tax Expense Income Tax Expense $ 22,200 169,100 68,300 102,800 30,000 $ 392,400 $ 49 68,800 100,000 218,000 100,000 74,400 174,400 $ 392,400 $ 2,765,000 1,850,500 286,700 335,400 2,472,600 292,400 17,000 275,400 103,800 $ 171,600 Required: Calculate the debt-to-assets ratio and the times interest earned. (Round your answers to 2 decimal places.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter9: Long-term Liabilities

Section: Chapter Questions

Problem 89E: Ratio Analysis Rising Stars Academy provided the following information on its 2019 balance sheet and...

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