The accounting information collected from the MCM company is detailed in the attached tables. Prepare the following:Calculate the following financial ratios: Current ratio, acid test ratio, participation ratio, profit margin.Financial information was collected for the month of September 210 for the company MCM. Balance Bills to pay$35000 receivable accounts$29000bonds payable$110000buildings (net value)$605000cash on hand$17000dividends payable$8000inventary$31000terrain $450000long-term mortgage payable$450000retained earnings$154000stock values$375000transaction in september 2010category Amountworkforce $50000bills insurance $20000 sales$62000 rent and maintenance$40000 salary $110000 others $62000 total $294000income taxes $20000finished goods inventory as of September 1, 2010 $25000finished goods inventory as of September 30, 2010 $50000materials inventory as of September 1, 2010 $46000materials inventory as of September 30, 2010 $25000Purchasing of materials $20000indirect costs of manufacturing $75000sales income $500000

Ratio analysis is tool used in management accounting to make analysis of financial statements.…

Answered: The accounting information collected…

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....

See similar textbooks

Related questions

Question

The accounting information collected from the MCM company is detailed in the attached tables. Prepare the following:

Calculate the following financial ratios: Current ratio, acid test ratio, participation ratio, profit margin.

Financial information was collected for the month of September 210 for the company MCM.

	Balance
Bills to pay	$35000

receivable accounts	$29000
bonds payable	$110000
buildings (net value)	$605000
cash on hand	$17000
dividends payable	$8000
inventary	$31000
terrain	$450000
long-term mortgage payable	$450000
retained earnings	$154000
stock values	$375000

transaction in september 2010

category		Amount
workforce		$50000
bills
insurance	$20000
sales	$62000
rent and maintenance	$40000
salary	$110000
others	$62000
total		$294000
income taxes		$20000
finished goods inventory as of September 1, 2010		$25000
finished goods inventory as of September 30, 2010		$50000
materials inventory as of September 1, 2010		$46000
materials inventory as of September 30, 2010		$25000
Purchasing of materials		$20000
indirect costs of manufacturing		$75000
sales income		$500000

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