The balance sheet and income statement shown below are for Pettijohn Inc. Note that the firm has
Question:
Balance Sheet (Millions of $)
Assets 2010
Cash and securities....................................................................$ 1,554.0
Accounts receivable.....................................................................9,660.0
Inventories..............................................................................13,440.0
Total current assets..................................................................$24,654.0
Net plant and equipment............................................................17,346.0
Total assets...........................................................................$42,000.0
Liabilities and Equity
Accounts payable...................................................................$ 7,980.0
Notes payable.........................................................................5,880.0
Accruals...............................................................................4,620.0
Total current liabilities............................................................$18,480.0
Long-term bonds...................................................................10,920.0
Total debt..........................................................................$29,400.0
Common stock.......................................................................3,360.0
Retained earnings...................................................................9,240.0
Total common equity............................................................$12,600.0
Total liabilities and equity......................................................$42,000.0
Income Statement (Millions of $)...................................................2010
Net sales..........................................................................$58,800.0
Operating costs except depr'n................................................$54,978.0
Depreciation.....................................................................$ 1,029.0
Earnings bef int and taxes (EBIT) ..........................................$ 2,793.0
Less interest.......................................................................1,050.0
Earnings before taxes (EBT) ................................................$ 1,743.0
Taxes..............................................................................$ 610.1
Net income.....................................................................$ 1,133.0
Other data:
Shares outstanding (millions) ...................................................175.00
Common dividends.............................................................$ 509.83
Int rate on notes payable & L-T bonds..........................................6.25%
Federal plus state income tax rate..................................................35%
Year-end stock price.............................................................$ 77.69
Refer to Multi-Part 3-1. What is the firm's total assets turnover?
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Financial Accounting and Reporting a Global Perspective
ISBN: 978-1408076866
4th edition
Authors: Michel Lebas, Herve Stolowy, Yuan Ding
Question Posted: