sub= 26 Q1 ,a,b,c Q2 The following condensed information was reported by Peabody Toys Ltd for 2013 and 2012:($ in 000s)20132012Income statement informationNet sales$4,200$5,200180Net income124Statement of financial position informationCurrent assets$ 750950$ 800Property, plant, and equipment (net)1,100Total assets$1,900$1,700MalcaheyCurrent liabilities$ 600$ 450Long-term liabilitiesIssued capitalRetained earnings750750400 MEJSO400150100Liabilities and shareholders' equity bagmoo do$1,900$1,700Required:1. Determine the following ratios for 2013:a. Profit margin on sales.2010b. Return on assets.c. Return on shareholders' equity.2. Determine the amount of dividends paid to shareholders during 2013.

Formulas Profit Margin = Net Income / Sales * 100 Return on Assets = Net Income / Average Assets…

The following condensed information was reported by Peabody Toys Ltd for 2013 and 2012: ($ in 000s) 2013 2012 Income statement information Net sales $5,200 $4,200 Net income 180 124 Statement of financial position information Current assets $ 750 $ 800 1,100 Property, plant, and equipment (net) 950 Total assets $1,900 $1,700 Maleaey Buik $ 450 750 Current liabilities $ 600 750 Long-term liabilities Issued capital Retained earnings 400 400 ME 150 100 Liabilities and shareholders' equity bagmoo do$1,900 $1,700 Required: 1. Determine the following ratios for 2013: (2 bo a. Profit margin on sales. b. Return on assets. c. Return on shareholders' equity. 2. Determine the amount of dividends paid to shareholders during 2013.

The following condensed information was reported by Peabody Toys Ltd for 2013 and 2012: ($ in 000s) 2013 2012 Income statement information Net sales $5,200 $4,200 Net income 180 124 Statement of financial position information Current assets $ 750 $ 800 1,100 Property, plant, and equipment (net) 950 Total assets $1,900 $1,700 Maleaey Buik $ 450 750 Current liabilities $ 600 750 Long-term liabilities Issued capital Retained earnings 400 400 ME 150 100 Liabilities and shareholders' equity bagmoo do$1,900 $1,700 Required: 1. Determine the following ratios for 2013: (2 bo a. Profit margin on sales. b. Return on assets. c. Return on shareholders' equity. 2. Determine the amount of dividends paid to shareholders during 2013.

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 9.4.14P: Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of...

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The comparative balance sheet of Prime Sports Gear, Inc., at December 31, the end of the fiscal year, is as follows: Additional data obtained from the records of Prime Sports Gear are as follows: a. Net income for 2013 was 121,610. b. Depreciation reported on income statement for 2013 was 46,500. c. Purchased 165,000 of new equipment, putting 90,000 cash down and issuing 75,000 of bonds for the balance. d. Old equipment originally costing 19,500, with accumulated depreciation of 7,950, was sold for 8,000. e. Retired 60,000 of bonds. f. Declared cash dividends of 64,000. g. Issued 1,500 shares of common stock at 27 cash per share. Open the file CASHFLOW from the website for this book at cengagebrain.com. First, enter the formulas. Then, complete the worksheet in the manner described next. According to the problem, cash increased from 39,600 to 67,210 during the year. This is a 27,610 increase. To record this increase on the worksheet, move to row 17. Since this is the first account you are analyzing, enter the letter a in column C. Then enter 27610 in column D (a debit since cash increased). This brings the year-end balance (column G) to 67,210, its proper balance. Now move to the bottom part of the statement where you see the categories Operating Activities, Investing Activities, and so on. The credit side of the entry has to be entered here. The proper space for this cash entry is on row 59. Enter the letter a in cell E59 and 27610 in cell F59. Notice the totals at the bottom of the page (row 60) now agree. The next account balance that changed is accounts receivable. It increased by 9,035. To enter this change on the worksheet, enter the letter b in cell C18 and 9035 in cell D18 (again, a debit since accounts receivable increased). This brings the year-end balance in column G to 121,250, its proper balance. The change in accounts receivable balance is an operating activity adjustment (as explained in your textbook). Enter the credit side of this entry in cells E34 and F34, and enter the explanation Increase in accounts receivable in cell A34. Note: Your textbook probably shows Net income as the first item under Operating Activities. We will get to that later. The sequence in which you enter items on this worksheet is not important. All other balance sheet accounts must be analyzed in the same manner, placing appropriate debit or credit entries in the top part of the worksheet to obtain the proper balances in column G, and then entering the second side of the entry in the appropriate row on the bottom part of the worksheet. You should use letter references to identify all entries. Also, you must enter a description of the entry in column A under the appropriate activity category. Although a sequence of analyzing the balance sheet from top to bottom is suggested here, this order is not necessary. As mentioned earlier, your textbook may specify a different sequence. Also, note that some accounts may have both debit and credit adjustments to them. The worksheet is not a substitute for a statement of cash flows, but it does provide you with all the numbers you need to properly prepare one. You will be done with your analysis when: a. The individual account balances at December 31, 2013, as shown on the worksheet (column G) equal those shown in the given problem data. b. The transaction column totals are equal (cells D60 and F60). c. The sum of the operating, investing, and financing activities (cell G59) equals the change in cash (cell D59 or F59). When you are finished, enter your name in cell A1. Save your completed file as CASHFLOW2. Print the worksheet when done. Also print your formulas. Check figure: Total credits at 12/31/2013 (cell G31), 860,460.
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 Return on total assets
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