Condensed financial data are presented below for the Phoenix Corporation: 20X2 20X1Accounts receivable$267,500 $230,000 Inventory 312,500 257,500 Total current assets 670,000 565,000 Intangible assets 50,000 60,000 Total assets 825,000 695,000 Current liabilities 252,500 200,000 Long-term liabilities 77,500 75,000 Sales 1,640,000 Cost of goods sold 982,500 Interest expense 10,000 Income tax expense 77,500 Net income 127,500 Cash flow from operations 71,000 Cash flow from investing activities (6,000) Cash flow from financing activities (62,500) Tax rate 30% If the intangible assets in 20X2 are $50,000, then the long-term debt to tangible assets for 20X2 is:10.0% 10.2% 30.7% 42.5%

Meaning of Consolidated Financial Statements The main purpose of Consolidated Financial Statements…

Answered: long-term debt to tangible assets for…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.4.10P: Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of...

See similar textbooks

Related questions

Question

Condensed financial data are presented below for the Phoenix Corporation:

	20X2		20X1
Accounts receivable	$	267,500		$	230,000
Inventory		312,500			257,500
Total current assets		670,000			565,000
Intangible assets		50,000			60,000
Total assets		825,000			695,000
Current liabilities		252,500			200,000
Long-term liabilities		77,500			75,000
Sales		1,640,000
Cost of goods sold		982,500
Interest expense		10,000
Income tax expense		77,500
Net income		127,500
Cash flow from operations		71,000
Cash flow from investing activities		(6,000	)
Cash flow from financing activities		(62,500	)
Tax rate		30	%

If the intangible assets in 20X2 are $50,000, then the long-term debt to tangible assets for 20X2 is:

10.0%
10.2%
30.7%
42.5%

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

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.

Similar questions