Question #4
Compute the missing amounts, and complete the statements of the Darius Co
(Hint: Complete the Income Statement first)
DARIUS COMPANY
BALANCE SHEET
AS OF DECEMBER 31, 2016
Cash	?		Current Liabilities	?
Accounts Receivable (Net)	?		6.08% Long-Term Bonds Payable	3,700,000
Inventory	?		Common Stock	1,755,856
PPE (Net)	?		Retained Earnings	?
Total Assets	8,300,000		Total Liabilities and Stockholders' Equity	?
DARIUS COMPANY
INCOME STATEMENT
FOR THE YEAR ENDED DECEMBER 31, 2016
Net Sales				?
Cost of Goods Sold				?
Gross Profit				?
SGA Expenses				?
Income from Operations				?
Interest Expense on Bonds Payable				?
Income before Income Taxes				?
Income Tax Expense				?
Net Income				642,000
The following information is available about Darius Company's financial statements:
1. The Accounts Receivable Collection Period (DRO) is 38.78 Days
2. The Days Inventory Outstanding (DIO) is 50.12 Days
3. The Current Ratio for the firm is 3.78
4. The Net Profit Margin for the firm is 12.78%
5. The Operating Profit Margin for the firm is 21.68%
6. The Gross Profit Margin for the firm is 39.5%
7. The Return on Common Equity for the firm is 16.65%
8. The Income Tax Rate for the firm is 25.7%

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