pepper company provided a incomplete financial statement

Problem 15-21 lncomplete Statements; Ratios Analysis [LO15-2, LO15-3, LO15-4, LO155, LO15-6] 17 Pepper Company provided the incomplete nancial statements shown below as well as the following additional information: 1-11 a. All sales during the year were on account. p'\"t5 b. There was no change in the number of shares of common stock outstanding during the year. c. The interest expense on the income statement relates to the bonds payable; the amount of bonds outstanding did not change during the year. d. Selected balances at the beginning of the current year were: Sklpped Accounts receivable $ 2 10 , 00 0 References Inventory 5 3 2 0 , 0 0 0 Total assets $1,407,500 e. Selected nancial ratios computed from the statements below for the current year are: Earnings per share $ 3.00 Debt-toequity ratio 0.960 Accounts receivable turnover 14.0 Current ratio 3.00 Return on total assets 10% Times interest earned ratio 5.0 Acidtest ratio 1.18 Inventory turnover 6.0 Required: Required: Compute the missing amounts on the company's nancial statements. (Hint: What's the difference between the acid-test ratio and the 1 7 current ratio?) (Do not round intermediate calculations.) Sales $ 3,500,000 Cost of goods sold Gross margin Skipped ' Selling and administrative expenses Net operating income Interest expense 50,000 References Net income before taxes Income taxes (40%) Net income 17 1.11 Current assets: pomts Cash Accounts receivable, net 2 01:17:25 Inventory Skipped Total current assets Plant and equipment, net Total assets Raferences Liabilities: Current liabilities 280,000 Bonds payable, 10% Total liabilities Stockholders' equity: Common stock, $3.00 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity