In the table that follows, complete the balance sheet and sales information for J. White Industries using

Question:

In the table that follows, complete the balance sheet and sales information for J. White Industries using the following financial data:

Quick ratio: 0.80X

Total assets turnover: 1.5X

Days sales outstanding: 36.5 days^a

Gross profit margin on sales: (Sales - Cost of goods sold)/Sales = 25%
Inventory turnover ratio: 3.75X

Average payables period: 89.22 days

^aCalculation is based on a 365-day year.

Balance Sheet:

Accounts payable Long-term debt Common stock Cash Accounts receivable 50,000 |Inventories Fixed assets Retained earnings

Inventory Turnover Ratio
Inventory Turnover RatioThe inventory turnover ratio is a ratio of cost of goods sold to its average inventory. It is measured in times with respect to the cost of goods sold in a year normally. Inventory Turnover Ratio FormulaWhere,... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...

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