Long-Term Solvency Analysis The following information was taken from Celebrate Company's balance sheet: Fixed assets (net) $2,072,400 Long-term liabilities 471,000 Total liabilities 329,700 Total stockholders' equity 1,648,500 Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place. a. Ratio of fixed assets to long-term liabilities fill in the blank 1 b. Ratio of liabilities to stockholders' equity fill in the blank 2
Long-Term Solvency Analysis The following information was taken from Celebrate Company's balance sheet: Fixed assets (net) $2,072,400 Long-term liabilities 471,000 Total liabilities 329,700 Total stockholders' equity 1,648,500 Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place. a. Ratio of fixed assets to long-term liabilities fill in the blank 1 b. Ratio of liabilities to stockholders' equity fill in the blank 2
Chapter2: Analysis Of Financial Statements
Section: Chapter Questions
Problem 20PROB
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Long-Term Solvency Analysis
The following information was taken from Celebrate Company's balance sheet:
| Fixed assets (net) | $2,072,400 |
| Long-term liabilities | 471,000 |
| Total liabilities | 329,700 |
| Total |
1,648,500 |
Determine the company's (a) ratio of fixed assets to long-term liabilities and (b) ratio of liabilities to stockholders' equity. If required, round your answers to one decimal place.
| a. Ratio of fixed assets to long-term liabilities | fill in the blank 1 |
| b. Ratio of liabilities to stockholders' equity | fill in the blank 2 |
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