A company has the following information in its balance sheet:

• Current Assets: $100,000
• Fixed Assets: $200,000
• Current Liabilities: $50,000
• Long-term Liabilities: $150,000 Calculate the company's working capital and its debt-to-equity ratio.

Similarly the company has the following information in its income statement:

• Gross Profit: $500,000
• Operating Expenses: $300,000
• Interest Expense: $50,000
• Taxes: $100,000 Calculate the company's operating income, net income, and return on assets (ROA). (10 marks)

Answer rating: 100% (QA)

The detailed answer for the above question is provided below Question 1 Working capital can be calcu... View the full answer