The condensed financial statements of Murawski Company for the years 2016 and 2017 are presented below. (Amounts

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The condensed financial statements of Murawski Company for the years 2016 and 2017 are presented below. (Amounts in thousands.)

MURAWSKI COMPANY Balance Sheets December 31 2017 2016 Current assets $ 330 $ 360 Cash and cash equivalents Accounts receivable (net) Inventory Prepaid expenses 470 400 460 390 120 160 Total current assets 1,380 1,310 Investments 10 10 Property, plant, and equipment Intangibles and other assets 420 380 530 510



Compute the following ratios for 2017 and 2016.

(a) Current ratio.

(b) Inventory turnover. (Inventory on 12/31/15 was $340.)

(c) Profit margin.

(d) Return on assets. (Assets on 12/31/15 were $1,900.)

(e) Return on common stockholders’ equity. (Stockholders’ equity on 12/31/15 was $900.)

(f) Debt to assets ratio.

(g) Times interest earned.

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Related Book For  answer-question

Accounting Principles

ISBN: 978-1118875056

12th edition

Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso

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