Financial Accounting
5th Edition
ISBN: 9781618531650
Author: Thomas Dyckman
Publisher: Cambridge Business Publishers
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Question
Chapter 1, Problem 46CP
a.
To determine
Prepare income statements of Company S for the years ended September 29, 2013 and September 30, 2012.
b.
To determine
Compute the return on equity ratio of company S for the year 2013 and 2012.
c.
To determine
Ascertain the debt-to-equity ratio for the year 2013 and 2012.
d.
To determine
Indicate the effect of one-time litigation charge on the company’s return on equity ratio.
e.
To determine
Discuss the costs and benefits of disclosing the information about the pending litigation in its 2012 annual report.
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The financial statements for Tyler Toys, Inc. are shown in the popup window:
LOADING...
.
Calculate the debt ratio, times interest earned ratio, and cash coverage ratio for 2013 and 2014 for Tyler Toys. Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or the shareholders?
Tyler Toys, Inc.
Income Statement for Years Ending December 31, 2013 and 2014
2014
2013
Revenue
$14,146,575
$13,566,748
Cost of goods sold
$-8,448,000
$-8,132,335
Selling, general, andadministrative expenses
$-998,406
$-980,458
Depreciation
$-1,497,529
$-1,471,013
EBIT
$3,202,640
$2,982,942
Interest expense
$-376,217
$-354,594
Taxes
$-1,074,041
$-998,772
Net income
$1,752,382
$1,629,576
Right-click on the table and select Copy to Clipboard and then right-click the
highlighted texts in the popup dialogue box and select Copy in order to paste its…
Consider the following financial statements for Dell Corporation:
The closing stock price for Dell was $13.47 on January 28, 2011. The numbers of outstanding shares were 1,944 million in 2011and1,944 million in 2010, respectively. The income tax rates were 21.3% in 2011 and 29.2% in 2010. From the financial data presented, compute the following financial ratios for 2011, and make an informed analysis of Dell's financial health:(a) Debt ratio(b) Times-interest-earned ratio(c) Current ratio(d) Quick (acid test) ratio(e) Inventory-turnover ratio(f) Days-sales-outstanding ratio(g) Total-assets-turnover ratio(h) Profit margin on sales (i) Return on total assets(j) Return on common equity(k) Price/earnings ratio(l) Book value per share
Accutune Audio reported the following amounts in its December 31, 2013, and 2012 financial statements.
($ millions)
2013
2012
Sales revenue
$310,000
$256,000
Cost of sales
101,000
94,000
Net income
10,600
12,400
Total assets
68,500
75,200
Stockholders’ equity
46,400
41,500
Calculate to the nearest hundredth:
Return on sales for 2013
Debt-to-total-assets ratio as of December 31, 2013
Chapter 1 Solutions
Financial Accounting
Ch. 1 - Prob. 1MCCh. 1 - Prob. 2MCCh. 1 - Prob. 3MCCh. 1 - Prob. 4MCCh. 1 - Prob. 5MCCh. 1 - Prob. 1QCh. 1 - Prob. 2QCh. 1 - Prob. 3QCh. 1 - Prob. 4QCh. 1 - Prob. 5Q
Ch. 1 - Prob. 6QCh. 1 - Prob. 7QCh. 1 - Prob. 8QCh. 1 - Prob. 9QCh. 1 - Prob. 10QCh. 1 - Prob. 11QCh. 1 - Prob. 12QCh. 1 - Prob. 13QCh. 1 - Prob. 14QCh. 1 - Prob. 15QCh. 1 - Prob. 16QCh. 1 - Prob. 17QCh. 1 - Prob. 18QCh. 1 - Prob. 19MECh. 1 - Prob. 20MECh. 1 - Prob. 21MECh. 1 - Prob. 22MECh. 1 - Prob. 24MECh. 1 - Prob. 25MECh. 1 - Prob. 26MECh. 1 - Prob. 27ECh. 1 - Prob. 28ECh. 1 - Prob. 29ECh. 1 - Prob. 30ECh. 1 - Prob. 31ECh. 1 - Prob. 32ECh. 1 - Prob. 33ECh. 1 - Prob. 34ECh. 1 - Prob. 35ECh. 1 - Prob. 36PCh. 1 - Prob. 37PCh. 1 - Prob. 38PCh. 1 - Prob. 39PCh. 1 - Prob. 40PCh. 1 - Prob. 41PCh. 1 - Prob. 42PCh. 1 - Prob. 43PCh. 1 - Prob. 44PCh. 1 - Prob. 45PCh. 1 - Prob. 46CPCh. 1 - Prob. 47CPCh. 1 - Prob. 48CPCh. 1 - Prob. 49CPCh. 1 - Prob. 50CP
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