Question
The following information pertains to Carla Vista Company: Cash $19,500 Accounts receivable 125,000 Inventory 74,500 Plant assets (net) 383,500 Total assets $602,500 Accounts payable $75,500
The following information pertains to Carla Vista Company:
Cash $19,500
Accounts receivable 125,000
Inventory 74,500
Plant assets (net) 383,500
Total assets $602,500
Accounts payable $75,500
Accrued taxes and expenses payable 24,500
Long-term debt 49,000
Common stock ($10 par) 155,000
Paid-in capital in excess of par 88,500
Retained earnings 210,000
Total equities $602,500
Net sales (all on credit) $803,000
Cost of goods sold 604,000
Net income 80,500
Compute the following: (Round answers to 2 decimal places e.g. 15.25.)
(a)Current ratio: 2.19:1
(b)Inventory turnover times: 8.11 times
(c)Accounts receivable turnover times: 6.42 times
(d)Book value per share: $29.26
(e)Earnings per share: $5.19
(f)Debt to assets %: Not sure if I just include long-term debt of $49,000 in the numerator or ($75,500 + $24,500 + $49,000)?
(g)Profit margin on sales %: 10.02%
(h)Return on common stockholders’ equity %: 17.75%
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aCurrent ratio Current Assets Current Liabilities 19500 125000 74500 75500 24500 2190...Get Instant Access to Expert-Tailored Solutions
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