[The following information applies to the questions displayed below.] 2021 2020 2019 Selected comparative financial statements of Korbin Company follow. Comparative Income Statements For Years Ended December 31 Sales Cost of goods sold Gross profit Selling expenses KORBIN COMPANY Administrative expenses Total expenses Income before taxes Income tax expense Net income Assets Current assets Long-term investments Plant assets, net Total assets KORBIN COMPANY Comparative Balance Sheets Liabilities and Equity Current liabilities 2021 2020 2019 $ 483,981 $ 370,769 $ 257,300 291,357 234,326 164,672 192,624 136,443 92,628 51,166 33,964 32,628 21,356 83,794 55,320 52,649 37,308 10,793 7,574 $ 29,734 Numerator: Common stock Other paid-in capital Retained earnings Total liabilities and equity 68,725 43,558 112,283 80,341 14,943 $ 65,398 $ 41,856 1 1 1 I I December 31 2021 $ 57,843 0 Current Ratio 105,787 $ 163,630 $ 23,890 66,000 Required: 1. Complete the below table to calculate each year's current ratio. $ 38,714 900 96,312 $ 135,926 Denominator: $ 20,253 $ 19,708 66,000 48,000 8,250 8,250 5,333 65,490 41,423 39,574 $ 163,630 $ 135,926 $ 112,615 = = 2020 = = 2019 = $ 51,752 4,660 56,203 $ 112,615 Current ratio Current ratio to 1 to 1 to 1
[The following information applies to the questions displayed below.] 2021 2020 2019 Selected comparative financial statements of Korbin Company follow. Comparative Income Statements For Years Ended December 31 Sales Cost of goods sold Gross profit Selling expenses KORBIN COMPANY Administrative expenses Total expenses Income before taxes Income tax expense Net income Assets Current assets Long-term investments Plant assets, net Total assets KORBIN COMPANY Comparative Balance Sheets Liabilities and Equity Current liabilities 2021 2020 2019 $ 483,981 $ 370,769 $ 257,300 291,357 234,326 164,672 192,624 136,443 92,628 51,166 33,964 32,628 21,356 83,794 55,320 52,649 37,308 10,793 7,574 $ 29,734 Numerator: Common stock Other paid-in capital Retained earnings Total liabilities and equity 68,725 43,558 112,283 80,341 14,943 $ 65,398 $ 41,856 1 1 1 I I December 31 2021 $ 57,843 0 Current Ratio 105,787 $ 163,630 $ 23,890 66,000 Required: 1. Complete the below table to calculate each year's current ratio. $ 38,714 900 96,312 $ 135,926 Denominator: $ 20,253 $ 19,708 66,000 48,000 8,250 8,250 5,333 65,490 41,423 39,574 $ 163,630 $ 135,926 $ 112,615 = = 2020 = = 2019 = $ 51,752 4,660 56,203 $ 112,615 Current ratio Current ratio to 1 to 1 to 1
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 74E
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![[The following information applies to the questions
displayed below.]
2021
2020
2019
Selected comparative financial statements of Korbin
Company follow.
KORBIN COMPANY
Comparative Income Statements
For Years Ended December 31
Sales
Cost of goods sold
Gross profit
Selling expenses
Administrative expenses
Total expenses
Income before taxes
Income tax expense
Net income
Assets
Current assets
Long-term investments
Plant assets, net
Total assets
KORBIN COMPANY
Comparative Balance Sheets
Liabilities and Equity
Current liabilities
Common stock
Other paid-in capital
Retained earnings
2021
2020
2019
$ 483,981 $ 370,769 $ 257,300
291,357
234,326
164,672
136,443
51,166
32,628
83,794
52,649
10,793
$ 41,856
192,624
68,725
43,558
Numerator:
112,283
80,341
14,943
$ 65,398
1
1
1
1
1
December 31
2021
$ 57,843
0
Current Ratio
$ 23,890
$ 20,253
$ 19,708
66,000
66,000
48,000
8,250
8,250
5,333
65,490
41,423
39,574
Total liabilities and equity $ 163,630 $ 135,926 $ 112,615
Required:
1. Complete the below table to calculate each year's current
ratio.
$38,714
$ 51,752
900
4,660
105,787
96,312
56,203
$ 163,630 $ 135,926 $ 112,615
Denominator:
2020
=
92,628
33,964
21,356
=
55,320
37,308
7,574
$ 29,734
=
2019
= Current ratio
Current ratio
to 1
to 1
to 1
=](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2b4dee1a-1261-4fbd-91e2-ece43a94b9b6%2F28bbc6d4-6050-4029-8557-edab1e10287e%2F207fxtr_processed.jpeg&w=3840&q=75)
Transcribed Image Text:[The following information applies to the questions
displayed below.]
2021
2020
2019
Selected comparative financial statements of Korbin
Company follow.
KORBIN COMPANY
Comparative Income Statements
For Years Ended December 31
Sales
Cost of goods sold
Gross profit
Selling expenses
Administrative expenses
Total expenses
Income before taxes
Income tax expense
Net income
Assets
Current assets
Long-term investments
Plant assets, net
Total assets
KORBIN COMPANY
Comparative Balance Sheets
Liabilities and Equity
Current liabilities
Common stock
Other paid-in capital
Retained earnings
2021
2020
2019
$ 483,981 $ 370,769 $ 257,300
291,357
234,326
164,672
136,443
51,166
32,628
83,794
52,649
10,793
$ 41,856
192,624
68,725
43,558
Numerator:
112,283
80,341
14,943
$ 65,398
1
1
1
1
1
December 31
2021
$ 57,843
0
Current Ratio
$ 23,890
$ 20,253
$ 19,708
66,000
66,000
48,000
8,250
8,250
5,333
65,490
41,423
39,574
Total liabilities and equity $ 163,630 $ 135,926 $ 112,615
Required:
1. Complete the below table to calculate each year's current
ratio.
$38,714
$ 51,752
900
4,660
105,787
96,312
56,203
$ 163,630 $ 135,926 $ 112,615
Denominator:
2020
=
92,628
33,964
21,356
=
55,320
37,308
7,574
$ 29,734
=
2019
= Current ratio
Current ratio
to 1
to 1
to 1
=
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