Question: Balance Sheet ($000) Carson Electronics, Inc. BGT Electronics, Inc. Cash $2,010 $1,530 Accounts receivable 4,460 5,970 Inventories 1,520 2,480 Current assets $7,990 $9,980 Net fixed

Balance Sheet ($000) Carson Electronics, Inc. BGT Electronics, Inc.

Cash $2,010 $1,530

Accounts receivable 4,460 5,970

Inventories 1,520 2,480

Current assets $7,990 $9,980

Net fixed assets 16,050 24,980

Total assets $24,040 $34,960

Accounts payable $2,480 $4,990

Accrued expenses 1,000 1,450

Short-term notes payable 3,450 1,490

Current liabilities $6,930 $7,930

Long-term debt 8,020 4,030

Owners' equity 9,090 23,000

Total liabilities and owners' equity $24,040 $34,960

a.Calculate the following ratios for both Carson andBGT:

Current ratio

Times interest earned

Inventory turnover

Total asset turnover

Operating profit margin

Operating return on assets

Debt ratio

Average collection period

Fixed asset turnover

Return on equity

b.Analyze the differences you observe between the two firms. Comment on what you view as weaknesses in the performance of Carson as compared to BGT thatCarson's management might focus on to improve its operations.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

I attached information regarding this project, i also attached the financials and also a sample of what i need. the chosen industry isSunCoke Energy Partners LP (NYS: SXCP). This is a 15 to 20 pages...

1. What are the advantages and disadvantages of Rosetta Stone going public? 2. What do you think the current value of a share of Rosetta Stone is (at the time of the case)? Justify your valuation on...

. What are the advantages and disadvantages of Rosetta Stone going public? 2. What do you think the current value of a share of Rosetta Stone is (at the time of the case)? Justify your valuation on a...

Metastasis Magnetics Corp. (MMC) is now completing its first year of operations. The Company has raised the Series A round of financing as determined in Part 1. The three founders are at a...

2. 3 4 13 1 See The Light Projected Income Statement For the Period Ending December 31, 20x1 15 6 7 6 7 8 MON 750.000.00 $ 375000.00 Sales 25.000 lamps @ $4500 Cost of Goods Sold $30.00 Gross Profit...

The required analysis for this Case Assessment includes the preparation of ONE SET of annual financial projections over five years and an annual cash flow model. Review the options in Exhibit 3 of...

Hi, Can you take a look at the attached material and let me know if you can help me with it and show all your work. The question is in the JPG file and you will need the Excel workbook and Word doc...

please fill out the empty yellow cells. the ones already filled out are correct AE6134 Insert Draw Page Layout Formulas Data Review View Tell me X Arial ] 12 Wrap Text General B 1 = = = Merge Center...

All information is provided. ***FINISH REQUIREMENT 9, 10, and 17 Big Al is about to begin work on the budget for 20x2 and they have requested that you prepare an analysis based on the following...

need help with yellow blanks Clipboard H A E F Projected Income Statement For the Period Ending December 31, 20x1 $ 1,125,000.00 750,000.00 $375,000.00 Sales 25,000 lamps @ $45.00 Cost of Goods Sold...

Transactions follow for Whitehall Limited: March 10 Purchased goods billed at $25,000, terms 3/10, n/60. 11 Purchased goods billed at $26,575, terms 1115, n/30. 19 Paid invoice of March 10. 24...

Family Inc. would like to issue 10,000 coupon bonds with face value of $1,000, coupon rate of 9%, semi-annual coupon payment, and maturity of 10 years. Bonds in the market with similar maturity and...

Yani has $12,000 for investment purposes. His bank has offered the following three choices. a. A special savings certificate that will pay $100 each month for 5 years and a lump sum payment at the...

Write an essay What are the main processes in project quality management?

Given the following array of integers Arr, and if the array Arr is to be sorted in increasing order, show how it would look like after the first iteration using the following sorting algorithms (One...

1. Explain: When the ideal gas passes through the adiabatic throttling process, how does its pressure (p), temperature (T), specific volume (v), internal energy (u) and enthalpy (h) of the ideal gas...

1.Is Water Vapor an Ideal Gas? 2, The pressure gage on a 2.5 m oxygen tank reads P = 500 kPa 500 kPa. Determine the amount of oxygen in the tank if the temperature is 28 C and the atmospheric V= 2.5...

Nicole organized a new corporation. The corporation began business on April 1 of year 1. She made the following expenditures associated with getting the corporation started: (Leave no answer blank....

Please help it's urgent thank you. please write 400-450 words. thank you QUESTION 4 (20 MARKS) The success of any project is dependent on a diverse range of skills, abilities and competencies of the...

2. In this chapter, the reader should reflect on the following concepts: Systemic structuring, the displaced error, the communicable part of knowl-edge, tacit knowledge, hidden knowledge, analogy,...

2. List five points that are crucial to pay attention to if you want to positively influence someone from a foreign culture.

1. Discuss what you think is meant by the following statements: a) Splitting an egg into half to get two chickens. b) We cannot study time by taking apart a clock.