Eexamine the followingattached in ss beelowthanks for helpl4py2y25yp2y2 e the following selected financial information for The Deal Corporation and Simple Stores, Inc., as of the end of their fiscal years ending in 2021:ck the icon to view the financial information.)e requirements.plefplaalaleraerewerRequirements1. Complete the table, calculating all the requested information for the twocompanies. Use year-end figures in place of averages where needed for thepurpose of calculating the ratios in this exercise.2. Evaluate each company's long-term debt-paying ability (strong.medium, weak).PrintDoneData table1. Total assets2.Total common stockholders' equity3. Operating income4. Interest expense5.Leverage ratio6.Total debt7.Debt ratio8. Times interest earnedPrintThe DealCorporation$S$SDoneSimple Stores,Inc.(In millions)16,870 $3,080 $1,400 $87 $203,13071,31026,9302,050- Xvers Examine the following selected financial information for The Deal Corporation and Simple Stores, Inc., as of the end of their fiscal years ending in 2021:(Click the icon to view the financial information.)Read the requirements1. Complete the table, calculating all the requested information for the two companies. Use year-end figures in place of averages where needed for the purpose of calculating ratios in this exercise. (Round your answers to twodecimal places, X.XX. Enter amounts in millions as provided to you in the problem statement.)1. Total assets2. Total Stockholders' equity3. Operating income4. Interest expense5. Leverage ratio$$$$The DealCorporationSimple Stores, Inc.(In millions)16,870 $3,080 $1,400 $87 $203,13071,31026,9302,050

The debt ratio is the comparison of total assets and debts. A company that is financed heavily by…

the following selected financial information for The Deal Corporation and Simple Stores, Inc., as of the end of their fiscal years ending in 2021: k the icon to view the financial information.) requirements. -lef pla al : al era re er Requirements 1. Complete the table, calculating all the requested information for the two companies. Use year-end figures in place of averages where needed for the purpose of calculating the ratios in this exercise. 2. Evaluate each company's long-term debt-paying ability (strong. medium, weak). Print Done Data table 1. Total assets 2. Total common stockholders' equity 3. Operating income 4. Interest expense 5. Leverage ratio 6. Total debt 7. Debt ratio 8. Times interest earned Drink The Deal Simple Stores, Corporation Inc. $ $ $ $ (In millions) 16,870 $ 3,080 $ 1,400 $ 87 $ 203,130 71,310 26,930 2,050 I

the following selected financial information for The Deal Corporation and Simple Stores, Inc., as of the end of their fiscal years ending in 2021: k the icon to view the financial information.) requirements. -lef pla al : al era re er Requirements 1. Complete the table, calculating all the requested information for the two companies. Use year-end figures in place of averages where needed for the purpose of calculating the ratios in this exercise. 2. Evaluate each company's long-term debt-paying ability (strong. medium, weak). Print Done Data table 1. Total assets 2. Total common stockholders' equity 3. Operating income 4. Interest expense 5. Leverage ratio 6. Total debt 7. Debt ratio 8. Times interest earned Drink The Deal Simple Stores, Corporation Inc. $ $ $ $ (In millions) 16,870 $ 3,080 $ 1,400 $ 87 $ 203,130 71,310 26,930 2,050 I

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter6: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 5PA: The following selected accounts and their current balances appear in the ledger of Clairemont Co....

See similar textbooks

Similar questions

A Preparation of Ratios Refer to the financial statements for Burch Industries in Problem 12-89A and the following data. Required: 1. Prepare all the financial ratios for Burch for 2019 and 2018 (using percentage terms where appropriate and rounding all answers to two decimal places). 2. CONCEPTUAL CONNECTION Explain whether Burchs short-term liquidity is adequate. 3. CONCEPTUAL CONNECTION Discuss whether Burch uses its assets efficiently. 4. CONCEPTUAL CONNECTION Determine whether Burch is profitable. 5. CONCEPTUAL CONNECTION Discuss whether long-term creditors should regard Burch as a high-risk or a low-risk firm. 6. Perform a Dupont analysis (rounding to two decimal places) for 2018 and 2019.
The following data (in millions) were taken from the financial statements of Costco Wholesale Corporation: a. For Costco, determine the amount of change in millions and the percent of change (round to one decimal place) from the prior year to the recent year for: 1. Revenue 2. Operating expenses 3. Operating income b. Comment on the results of your horizontal analysis in part (a). c. Based upon Exercise 2-23, compare and comment on the operating results of Target and Costco for the recent year.
Grammatico Company has just completed its third year of operations. The income statement is as follows: Selected information from the balance sheet is as follows: Required: Note: Round answers to two decimal places. 1. Compute the times-interest-earned ratio. 2. Compute the debt ratio. 3. CONCEPTUAL CONNECTION Assume that the lower quartile, median, and upper quartile values for debt and times-interest-earned ratios in Grammaticos industry are as follows: How does Grammatico compare with the industrial norms? Does it have too much debt?
The following selected accounts and their current balances appear in the ledger of Clairemont Co. for the fiscal year ended May 31, 2019: Instructions 1. Prepare a multiple-step income statement. 2. Prepare a statement of owners equity. 3. Prepare a balance sheet, assuming that the current portion of the note payable is 50,000. 4. Briefly explain how multiple-step and single-step income statements differ.
Review the select information for Bean Superstore and Legumes Plus (industry competitors), and then complete the following. A. Compute the accounts receivable turnover ratios for each company for 2018 and 2019. B. Compute the number of days sales in receivables ratios for each company for 2018 and 2019. C. Determine which company is the better investment and why. Round answers to two decimal places.
FedEx Corporation had the following revenue and expense account balances (in millions) for a recent year ending May 31: a.Prepare an income statement. b.Compare your income statement with the income statement that is available at the FedEx Corporation Web site, (http://investors.fedex.com). Click on Annual Report and Download Annual Report. What similarities and differences do you see?
Using the following select financial statement information from Black Water Industries, compute the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Black Water Industries?
The income statement, statement of retained earnings, and balance sheet for Santiago Systems are as follows: Includes both state and federal taxes. Refer to the information for Santiago Systems above. Required: Compute the price-earnings ratio. (Note: Round the answer to two decimal places.)
Jasmine Company provided the following income statements for its first 3 years of operation: Refer to the information for Jasmine Company above. Required: Prepare common-size income statements by using net sales as the base. (Note: Round answers to the nearest whole percentage.)
Cuneo Companys income statements for the last 3 years are as follows: Refer to the information for Cuneo Company above. Required: 1. Prepare a common-size income statement for Year 2 by expressing each line item for Year 2 as a percentage of that same line item from Year 1. (Note: Round percentages to the nearest tenth of a percent.) 2. Prepare a common-size income statement for Year 3 by expressing each line item for Year 3 as a percentage of that same line item from Year 1. (Note: Round percentages to the nearest tenth of a percent.)
The comparative financial statements of Global Technology are as follows: Review the worksheet RATIOA that follows these requirements. You have been asked to perform a ratio analysis of this company for 2012.
Sundahl Companys income statements for the past 2 years are as follows: Refer to the information for Sundahl Company above. Required: Prepare a common-size income statement for Year 2 by expressing each line item for Year 2 as a percentage of that same line item from Year 1. (Note: Round percentages to the nearest tenth of a percent.)