3:5

(Working with financial statements) Based on the balance sheet. and Income statement..for T.P. Jarmon Company for the year ended December 31, 2018 a. How much is the firm's not working capital and what is the debt ratio? b. Complete a statement of cash flows for the period c. Compute the changes in the balance sheets from 2017 to 2018 T. P. Jarmon Company Balance Sheet for 12/31/2017 and 12/31/2018 Assets 2017 2018 Cash $ 15,000 $ 13,800 6,000 Marketable securities 6,000 Accounts receivable Inventory 42,000 51,000 1,200 $ 115,210 33,200 84,040 1,000 Prepaid rent Total current assets $ 138,040 Net plant and equipment $ 286,000 $ 269,800 Total assets $ 401,200 $ 407,840 Liabilities and Equity 2017 2018 Accounts payable $ $ 57,200 Accruals 48,000 6,000 15,000 4,900 13,200 Notes payable Marketable securities 6,000 6,000 Accounts receivable 33,200 Inventory 42,000 51,000 1,200 84,040 1,000 Prepaid rent Total current assets $ 115,200 $ 138,040 Net plant and equipment $ 286,000 $ 269,800 Total assets $ 401,200 $ 407,840 Liabilities and Equity 2017 2018 $ 48,000 $ 57,200 Accounts payable Accruals 6,000 15,000 4,900 13,200 Notes payable $ TA 69,000 $ Total current liabilities 75,300 Long-term debt $ 160,000 $ 149,700 Common stockholders' equity $ 172,200 $ 182,840 Total liabilities and equity $ 401,200 $ 407,840 T. P. Jarmon Company Income Statement for Years Ended 12/31/2018 Sales $ 600,400 459,600 $ 140,800 Less cost of goods sold Gross profit Operating and interest expenses General and administrative Interest $ 30,200 10,100 30,100 $ 70,400 Depreciation Total operating and interest expenses Earnings before taxes Taxes Net income available to common stockholders $ 70,400 28,160 $ 42,240 31,600 Cash dividends Change in retained earnings $ 10,640