Refer to the following selected financial information from Gomez Electronics. Compute the company's debt-to-equity ratio for...

 

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Refer to the following selected financial information from Gomez Electronics. Compute the company's debt-to-equity ratio for Year 2. Year 2 Year 1 Net sales $ 480,000 $426,550 Cost of goods sold 276,600 250,420 Interest expense 10,000 11,000 Net income before tax 67,550 52,980 Net income after tax 46,350 40,200 Total assets 317,700 289,800 Total liabilities 179,900 167,600 Total equity 137,800 122,200 Refer to the following selected financial information from Gomez Electronics. Compute the company's debt-to-equity ratio for Year 2. Year 2 Year 1 Net sales $ 480,000 $426,550 Cost of goods sold 276,600 250,420 Interest expense 10,000 11,000 Net income before tax 67,550 52,980 Net income after tax 46,350 40,200 Total assets 317,700 289,800 Total liabilities 179,900 167,600 Total equity 137,800 122,200

Answer rating: 100% (QA)

Compute the debttoequity ratio for Year 2 Total Liabilities Y... View the full answer