Question: please i need more help with the result interpretation than the result itself.(1-2 sentences to explain each) Part 4. Financial Ratios Student Responsibility - Calculate


Part 4. Financial Ratios Student Responsibility - Calculate the following ratios and provide a 1-2 sentences explanation of what each ratio means (Prepared in Word or Excel - Must show all calculations in order to receive full credit) Profit Margin Return on Investment (ROI) Current Ratio Debt to Equity Ratio Asset Turnover Due Date: Wednesday, 9/29/21 by_11:59pm P SAINT'S COMPUTER SUPPLY WAREHOUSE BALANCE SHEET FOR THE MONTH ENDED JULY 31, 2020 ASSETS Current Assets Cash $ 7,750.00 Accounts recievable $ 4,500.00 Inventory $ 2,000.00 Prepaid insurance $ 5,500.00 Total Current Assets: $ 19,750.00 Property and Equipment Truck $ 6,000.00 (200.00) LESS: Accumulated Depreciation from truck Total Assets: LIABILITIES AND SHAREHOLDERS EQUITY CURRENT LIABILITIES $25,550.00 Accounts Payable Unearned Revenue Salaries Payable $ 1,500.00 $ 1,200.00 $ 600.00 $ 3,300.00 Total Current Liabilities: NON CURRENT LIABILITIES Note Payable-LT $ 2,200.00 $ 5,500.00 Total Liabilities: SHAREHOLDER'S EQUITY Common Stock Retained earnings Total Shareholder's equity $20,000.00 $ 50.00 $ 20,050.00 Total Liabilities and Shareholder's equity $ 25,550.00 SAINT'S COMPUTER SUPPLY WAREHOUSE INCOME STATEMENT FOR THE MONTH ENDED JULY 31, 2020 Sales Revenues $7,000.00 Cost of goods sold $ 2,300.00 Gross Profit $4,700.00 Operating Expenses: Salaries expense Rent expense Depreciation expense Utilities expense Gas and oil expense Insurance expense $1,400.00 $1,000.00 $ 200.00 $ 250.00 $ 200.00 $ 500.00 TOTAL OPERATING EXPENSE $3,550.00 Operating Income $1,150.00 Other Income (expense): Interest expense $ 200.00 Net Income $ 950.00
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