CONTEMP.FINANCIAL MGMT. (LL)-W/MINDTAP
14th Edition
ISBN: 9780357292877
Author: MOYER
Publisher: CENGAGE L
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Chapter 3, Problem 19P
Summary Introduction
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Consider the following data for the Jamestown Company.
Sales = $3,650,000
Total asset turnover = 1.6x
Current ratio = 4:1
Quick ratio = 3:1
Current liabilities to net worth = 30%
Average collection period = 25 days
Total debt to total assets = 0.4
Fill in the balance sheet for the Jamestown Company based on the data provided above (assume a 365-day year). Round your answers to the nearest dollar.
Balance Sheet
Cash
2$
Accounts payable
2$
Accounts receivable
Total current liabilities
2$
Inventory
Long-term debt
2$
Total current assets
$4
Stockholders' equity
Fixed assets
Total assets
$
Total liabilities and equity
Muscat Industrial Company has the following data which is extracting from its financial statements at the beginning 2020. Calculate the following ratios :
Total Asset Turnover (TAT).
Debt Ratio (DR%).
Net Profit Margin
10%
Sales
2500 thousand (OMR)
Financial Leverage Multiplier
1.5 Times
Return on Asset (ROA)
8 %
The balance sheet for Revolution Clothiers is shown below. Sales for the year were $3,190,000, with 75 percent of sales sold on credit.
REVOLUTION CLOTHIERS
Balance Sheet 20X1
Assets
Cash
Accounts receivable
Inventory
Plant and equipment
Total assets
$ 24,000
283,000
266,000
450,000
a. Current ratio
b. Quick ratio
c. Debt-to-total-assets ratio
d. Asset turnover
e. Average collection period
$ 1,023,000
Accounts payable
Accrued taxes
Liabilities and Equity
times
times
%
times
days
Bonds payable (long-term)
Common stock
Paid-in capital
Retained earnings
Total liabilities and equity
Compute the following ratios:
Note: Use a 360-day year. Do not round intermediate calculations. Round your answers to 2 decimal places. Input your debt-to-
total assets answer as a percent rounded to 2 decimal places.
$ 279,000
107,000
130,000
100,000
150,000
257,000
$ 1,023,000
Chapter 3 Solutions
CONTEMP.FINANCIAL MGMT. (LL)-W/MINDTAP
Ch. 3 - Prob. 1QTDCh. 3 - Prob. 2QTDCh. 3 - Prob. 3QTDCh. 3 - Prob. 4QTDCh. 3 - Prob. 5QTDCh. 3 - Prob. 6QTDCh. 3 - Prob. 7QTDCh. 3 - Prob. 8QTDCh. 3 - Prob. 9QTDCh. 3 - Prob. 10QTD
Ch. 3 - Prob. 11QTDCh. 3 - Prob. 12QTDCh. 3 - Prob. 13QTDCh. 3 - Prob. 14QTDCh. 3 - Prob. 1PCh. 3 - Prob. 2PCh. 3 - Prob. 3PCh. 3 - Prob. 4PCh. 3 - Prob. 5PCh. 3 - Prob. 6PCh. 3 - Prob. 7PCh. 3 - Prob. 8PCh. 3 - Prob. 9PCh. 3 - Prob. 10PCh. 3 - Prob. 11PCh. 3 - Prob. 12PCh. 3 - Prob. 13PCh. 3 - Prob. 14PCh. 3 - Prob. 15PCh. 3 - Prob. 16PCh. 3 - Prob. 17PCh. 3 - Prob. 18PCh. 3 - Prob. 19PCh. 3 - Prob. 20PCh. 3 - Prob. 21P
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