Question: PLS SHOW ALL WORKING? Problem 2-6 Performing a ratio analysis [LO3] 6 Rene is a 28-year-old occupational therapist living in the Annex district of Toronto.
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PLS SHOW ALL WORKING?
Problem 2-6 Performing a ratio analysis [LO3] 6 Rene is a 28-year-old occupational therapist living in the Annex district of Toronto. She recently graduated from the University of Toronto and now works as an independent contractor assessing the legitimacy of claims made by car accident victims. Like many students, Rene accumulated a large student debt during her years at university and plans to pay it off within the next five years. Cash Flow Statement For the Year Just Ended Income Professional billings. $ 61,405 (25,490) Less: Professional expenses and taxes $ 35,915 Professional income net of expenses and taxes. Dividends (after taxes) 290 $36,205 Total Income Fixed Expenses Rent 11,200 4,500 Student loan payments. Total Fixed Expenses $15,700 Variable Expenses Utilities, personal, food, clothing, and dental $ 14,385 Moving expenses 385 Credit card interest Recreation/entertainment 1,170 2,050 6,360 Vacations Total Variable Expenses Total Expenses $ 24,350 $ 40,050 Surplus/(Deficit) ($ 3,845) 6 points Skipped eBook References 6 6 points Skipped eBook References Vacations Total Variable Expenses Total Expenses Surplus/(Deficit) Assets Liquid Assets Bank account $ 1,700 Personal Possessions $11,880 Investment Assets BCE Shares $ 4,625 $18,205 Total Assets Liabilities Current Liabilities $ 9,455 Credit card balances Long-Term Liabilities. Student loan 22,180 $31,635 Total Liabilities Net Worth ($13,430) picture Click here for the Excel Data File Using Rene's financial statements, compute the following ratios: (Do not round intermediate calculations. Round your final answers to 2 decimal places. Negative values should be indicated by a minus sign.) Debt ratio Current ratio Liquidity ratio months Personal Balance Sheet as of Today 6,360 $ 24,350 $ 40,050 ($ 3,845)
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