Preble 1. (13 points) The ACCT 240 Co. had the following financial information for 2022: Average...
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Preble 1. (13 points) The ACCT 240 Co. had the following financial information for 2022: Average Cash-C Average Current Liabilities $1OK Average Accounts Receivable $10K, Average Inventory - SISK: Average Fixed Assets - $30K: Net Sales-$30K. Cost of Goods Sold - $20K. Average Long-Term Debt $20K Average Common Stock Average Retained Earnings $20K Operating Expenses $5K. $IOK Based on the above information - calcuatate the following ratios for 2022 and comment whether the results are favorable or unfavorable when compared with 2021. Gross Profit % 2022 2021 30% Inventory Turnover Ratio 1.1 times Days to Collect Receivables 130 days Fixed Asset Turnover .75 times Favorable (F) or Unfavorable (U) Return on Equity 10% Based on this limited information, what is your overall impression of the company's performance and financial positions - Favorable (enough to invest in the company's stock) or Unfavorable and Why? Preble 1. (13 points) The ACCT 240 Co. had the following financial information for 2022: Average Cash-C Average Current Liabilities $1OK Average Accounts Receivable $10K, Average Inventory - SISK: Average Fixed Assets - $30K: Net Sales-$30K. Cost of Goods Sold - $20K. Average Long-Term Debt $20K Average Common Stock Average Retained Earnings $20K Operating Expenses $5K. $IOK Based on the above information - calcuatate the following ratios for 2022 and comment whether the results are favorable or unfavorable when compared with 2021. Gross Profit % 2022 2021 30% Inventory Turnover Ratio 1.1 times Days to Collect Receivables 130 days Fixed Asset Turnover .75 times Favorable (F) or Unfavorable (U) Return on Equity 10% Based on this limited information, what is your overall impression of the company's performance and financial positions - Favorable (enough to invest in the company's stock) or Unfavorable and Why?
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