Paragraph Styles e date: October 5, 2020 oblems 1. Given the balance sheet and income state for Simmons Maintenance Company, compute the ratios that are also shown for the industry average. The "right answer" refers to the question of whether a particular ratio for Simmons is better or worse than the industry average. Please provide formula and detailed calculations in separate sheet of paper. SIMMONS MAINTENANCE COMPANY Balance Sheet Assets Cash Accts. Receivable Inventory Current Assets Net Fixed Assets Liabilities $ 15,000 Accounts Payable 22,000 Notes Payable 30,000 Accrued Expenses 67,000 Current Liabilities 73,000 Long-term Debt Stockholders' Equity $ 21 20 5 46 30 64 Total Assets $140,000 Total Liabilities & Stockholders' Equity $140 Income Statement $120,000 45,000 75,000 Sales (80% credit) Less: Cost of Goods Sold Gross Profit Selling and Administrative Expense Rent Expense (Lease) EBIT Interest Expense Earnings before taxes Taxes (@25%) Net Income 20,000 8,000 28,000 47,000 5.000 42,000 10.500 $ 31,500 Common shares outstanding EPS 15,000 2.10 $ - Ratios for Simmons Industry Average Better (B) or Worse (W) Ratio Profit margin 17.5% Paragraph Styles e date: October 5, 2020 oblems 1. Given the balance sheet and income state for Simmons Maintenance Company, compute the ratios that are also shown for the industry average. The "right answer" refers to the question of whether a particular ratio for Simmons is better or worse than the industry average. Please provide formula and detailed calculations in separate sheet of paper. SIMMONS MAINTENANCE COMPANY Balance Sheet Assets Cash Accts. Receivable Inventory Current Assets Net Fixed Assets Liabilities $ 15,000 Accounts Payable 22,000 Notes Payable 30,000 Accrued Expenses 67,000 Current Liabilities 73,000 Long-term Debt Stockholders' Equity $ 21 20 5 46 30 64 Total Assets $140,000 Total Liabilities & Stockholders' Equity $140 Income Statement $120,000 45,000 75,000 Sales (80% credit) Less: Cost of Goods Sold Gross Profit Selling and Administrative Expense Rent Expense (Lease) EBIT Interest Expense Earnings before taxes Taxes (@25%) Net Income 20,000 8,000 28,000 47,000 5.000 42,000 10.500 $ 31,500 Common shares outstanding EPS 15,000 2.10 $ - Ratios for Simmons Industry Average Better (B) or Worse (W) Ratio Profit margin 17.5%