1 Question 5 2 Required: 3 Using the financial statements provided below calculate the following ratios for EZ 4 Home Services. 5 1) Earnings per share for 2019 7 B 2) Leverage ratio for 2019 0 3) Accounts payable turnover for 2019 1 2/4) Days payable outstanding for 2019 3 4 5) Times interest earned ratio for 2019 5 6 Marks Available: 5 7 5 5 EZ Home Services Income Statement For The Year Ending December 31, 2019 Merchandise Sales $ 182,800 Cost of Goods Sold $ 112,300 Gross Profit $ 70,500 Operating Expenses Advertising Interest Office Rent Salaries Utilities $ $ $ $ $ $ 2,800 15,200 1,700 4,800 18,500 11,500 Total Expenses $ 54,500 Net Income $ $ 16,000 2018 EZ Home Services Balance Sheet December 31, 2019 Current Assets: Cash Accounts Receivable - Net of AFDA Inventory Total Current Assets: $ $ 2019 6,000 13,000 14,000 33,000 $ 4,390 $ 13,750 $ 8,200 $ 26,340 $ $ Capital Assets - Net of A/A Long-term Investments $ $ 48,500 23,800 $ 53,260 $ 19,800 Total Assets $ 105,300 $ 99,400 $ Liabilities Current Liabilties Accounts payable Salary payable Unearned revenues Current portion of long-term debt Total current liabilities A $ $ $ $ 14,250 1,250 1,600 4.800 21,900 $ 20,750 $ 750 $ 900 $ 4,800 $ 27,200 Long-term Debt Total liabilities $ $ 24,000 45,900 $ 28,800 $ 56,000 Shareholders Equity Common shares (1000 shares @ $1 each) Retained earnings $ 1,000 58,400 $ 1,000 $ 42,400 $ Total Liabilities and Shareholders Equity $ 105,300 $ 99,400