Ratio of Liabilities to Stockholders' Equity and Ratio of Fixed Assets to Long-Term LiabilitiesRecent balance sheet information for two companies in the food industry, Santa Fe Company and Madrid Company, is as follows (in thousands):Santa FeMadridNet property, plant, and equipment$446,530$740,790Current liabilities186,260571,390Long-term debt472,046592,632Other long-term liabilities165,854230,468Stockholders' equity206,040324,300a. Determine the ratio of liabilities to stockholders' equity for both companies. Round to one decimal place.Santa FeMadridb. Determine the ratio of fixed assets to long-term liabilities for both companies. Round to one decimal place.Santa FeMadridc. Althoughuses more debt, it hascreditor protection and borrowing capacity.PreviousNextCheck My Work 3 more Check My Work uses remaining.

Step 1 The liabilities for the S Company is $824,160. It is determined by adding the current…

Answered: Ratio of Liabilities to Stockholders'…

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...

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Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of Automotive Solutions Inc. are as follows. The market price of Automotive Solutions Inc. common stock was $119.70 on December 31, 20Y8 Instructions Ratio of fixed assets to long-term liabilities
Ratio of Liabilities to Stockholders' Equity and Ratio of Fixed Assets to Long-Term Liabilities Recent balance sheet information for two companies in the food industry, Mondelez International, Inc., and The Hershey Company, is as follows (in thousands): Mondelez Hershey Net property, plant, and equipment $8,482,000 $2,130,294 Current liabilities 16,737,000 2,418,566 Long-term debt 12,532,000 3,254,280 Other long-term liabilities 7,747,000 622,908 Stockholders' equity 25,713,000 1,407,266 a. Determine the ratio of liabilities to stockholders' equity for both companies. Round your answers to one decimal place. Mondelez fill in the blank 1 Hershey fill in the blank 2 b. Determine the ratio of fixed assets to long-term liabilities for both companies. Round your answers to one decimal place. Mondelez fill in the blank 3 Hershey fill in the blank 4 c. Although Hershey uses more debt, it has slightly stronger creditor protection and…
Ratio of Liabilities to Stockholders' Equity and Ratio of Fixed Assets to Long-Term Liabilities Recent balance sheet information for two companies in the food industry, Mondelez International, Inc., and The Hershey Company, is as follows (in thousands): Mondelez Hershey Net property, plant, and equipment $8,482,000 $2,130,294 Current liabilities 16,737,000 2,418,566 Long-term debt 12,532,000 3,254,280 Other long-term liabilities 7,747,000 622,908 Stockholders' equity 25,713,000 1,407,266 a. Determine the ratio of liabilities to stockholders' equity for both companies. Round your answers to one decimal place. Mondelez fill in the blank 1 Hershey fill in the blank 2 b. Determine the ratio of fixed assets to long-term liabilities for both companies. Round your answers to one decimal place. Mondelez fill in the blank 3 Hershey fill in the blank 4 c. Although___________uses more debt, it has____________creditor protection and…
Recent balance sheet information for two companies in the food industry, Santa Fe Company and Madrid Company, is as follows (in thousands): Santa Fe Madrid Net property, plant, and equipment $565,680 $773,920 Current liabilities 305,732 747,820 Long-term debt 697,672 696,528 Other long-term liabilities 245,128 270,872 Stockholders' equity 304,520 381,160 a. Determine the ratio of liabilities to stockholders' equity for both companies. Round your answers to one decimal place. Santa Fe fill in the blank 1 Madrid fill in the blank 2 b. Determine the ratio of fixed assets to long-term liabilities for both companies. Round your answers to one decimal place. Santa Fe fill in the blank 3 Madrid fill in the blank 4
Recent balance sheet information for two companies in the food industry, Santa Fe Company and Madrid Company, is as follows (in thousands): Santa Fe Madrid Net property, plant, and equipment $625,380 $573,480 Current liabilities 289,737 492,570 Long-term debt 661,116 458,784 Other long-term liabilities 232,284 178,416 Stockholders' equity 288,570 251,060 a. Determine the ratio of liabilities to stockholders' equity for both companies. Round to one decimal place. Santa Fe Madrid b. Determine the ratio of fixed assets to long-term liabilities for both companies. Round to one decimal place. Santa Fe Madrid
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Long-Term Solvency Analysis The following information was taken from Celebrate Company's balance sheet: Fixed assets (net) $1,873,700 Long-term liabilities 457,000 Total liabilities 319,900 Total stockholders' equity 1,599,500 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 on B, you have to Divide total liabilities by total stockholders' equity. (two Experts have already gotten both my questions wrong.)
Long-Term Solvency Analysis The following information was taken from Celebrate Company's balance sheet: Fixed assets (net) $1,873,700 Long-term liabilities 457,000 Total liabilities 319,900 Total stockholders' equity 1,599,500 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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