Tree City Sporting Goods reported the following data at July 31, 2016, with amounts adapted in thousands:
Question:
1. Compute Tree City's net working capital.
2. Compute Tree City's current ratio. Round to two decimal places.
3. Compute Tree City's debt ratio. Round to two decimal places.
Do these values and ratios look strong, weak, or middle-of-the-road?
Transcribed Image Text:
A1 Tree City Sporting Goods Company Income Statement Year ended July 31, 2016 2 (Amounts in thousands 3 Net revenues 4 Cost of goods sold 5 All other expenses 6 Net income $184,500 136,200 28,000 20,300 A1 Tree City Sporting Goods Company Statement of Retained Earnings Year ended July 31, 2016 2 (Amounts in thousands $36,900 Retained earnings, July 31, 2015 4 Add: Net income 5 Retained earnings, July 31,2016 300 $57,200 A1 Tree City Sporting Goods Company Balance Sheet July 31, 2016 2 (Amounts in thousands) 3 Assets 4 Current: 5 Cash 6 Accounts receivable $43,100 28,500 37,000 5400 114000 17,400 28600 Inventories 8 Other current assets 9 Total current assets 10 Property and equipment, net 11 Other assets 12 Total assets 13 Liabilities 14 Total current liabilities 15 Long-term liabilities 16 Total liabilities 17 Stockholders' Equity 18 Common stock 19 Retained earnings 20 Total stockholders' equity 21 Total liabilities and stockholders equity $ 60,000 12,000 72,000 30,800 57.200 88,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 71% (7 reviews)
Dollars in thousands Req 1 Net working capital Total current assets Total current ...View the full answer
Answered By
Bree Normandin
Success in writing necessitates a commitment to grammatical excellence, a profound knack to pursue information, and a staunch adherence to deadlines, and the requirements of the individual publication. My background comprises writing research projects, research meta-analyses, literature reviews, white paper reports, multimedia projects, reports for peer-reviewed journals, among others. I work efficiently, with ease and deliver high-quality outputs within the stipulated deadline. I am proficient in APA, MLA, and Harvard referencing styles. I have good taste in writing and reading. I understand that this is a long standing and coupled with excellent research skills, analysis, well-articulated expressions, teamwork, availability all summed up by patience and passion. I put primacy on client satisfaction to gain loyalty, and trust for future projects. As a detail-oriented researcher with extensive experience surpassing eight years crafting high-quality custom written essays and numerous academic publications, I am confident that I could considerably exceed your expectations for the role of a freelance academic writer.
5.00+
7+ Reviews
21+ Question Solved
Related Book For
Financial Accounting
ISBN: 978-0134127620
11th edition
Authors: Walter Harrison, Charles Horngren, William Thomas, Wendy Tietz
Question Posted:
Students also viewed these Cost Accounting questions
-
Sparrow Sporting Goods reported the following data at March 31, 2012, with amounts adapted in thousands: 1. Compute Sparrow's net working capital. 2. Compute Sparrow's current ratio. Round to two...
-
Uptown Sporting Goods reported the following data at July 31, 2014, with amounts adapted in thousands: 1. Compute Uptowns net working capital. 2. Compute Uptowns current ratio. Round to two decimal...
-
Vulture Sporting Goods reported the following data at March 31, 2010, with amounts adapted in thousands: Vulture Sporting Goods Company Income Statement For the Year Ended March 31, 2010 (Amounts in...
-
The city pool loses 1.0 inch of water every week due to evaporation. If the pool is 25 yards long and 12 yards wide, what is the energy required to keep the pool at 15C. If the cost of energy is...
-
The following are the summary account balances from a recent balance sheet of Exxon Mobil Corporation. The accounts have normal debit or credit balances, but they are not necessarily listed in good...
-
Enzyme A catalyzes the reaction S P and has a KM of 50 M and a Vmax of 100 nM s-1, Enzyme B catalyzes the reaction S Q and has a KM of 5 mM and a Vmax of 120 nM s-1. When 100 M of S is added to a...
-
The life span (in kilometers) for a population of a new brand of tires can be approximated by a normal distribution, with a mean of 80,000 kilometers and a standard deviation of 1,500 kilometers. (a)...
-
De la Renta Chocolate Company produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (4,800 bars) are...
-
Question 1 . a. Discuss the feasibility of forecasting by comparing projections with market growth and development. b. The finance policies and procedures are there to help the business create...
-
Kelsey-White (K-W), an American multinational consumer goods company, manufactured and sold a variety of consumer packaged goods (CPG) around the world generally through brick-and-mortar retailers....
-
Use the Tree City Sporting Goods Company data in Short Exercise 3-15 to make the company's closing entries at July 31, 2016. Then set up a T-account for Retained Earnings and post to that account....
-
Refer to the Tree City Sporting Goods Company data in Short Exercise 3-17. At July 31, 2016, Tree City Sporting Goods Company's current ratio was 1.90 (rounded) and its debt ratio was 0.45 (rounded)....
-
Graph the function. Be sure to label all the asymptotes. List the domain and the x-and y-intercepts? a. b. f(x) = (x-3) x + 3 f(x) = x -3x-4
-
The Italian firm Luxottica was following a vertical integration strategy in the luxury eyewear business. The company designed and manufactured eyeglass frames and sunglasses under numerous brands....
-
Sawyer Company had the following information for the year: Direct materials used Direct labor incurred (7,000 hours) Actual manufacturing overhead incurred $190,000 $245,000 $273,000 Sawyer Company...
-
Sandhill's Hair Salon is considering opening a new location in French Lick, California. The cost of building a new salon is $310,000. A new salon will normally generate annual revenues of $68,950,...
-
On January 1, 2022, Swifty Company purchased equipment for $337000. The equipment is estimated to have a salvage value of $19000 and is being depreciated over five years using the...
-
Coronado, Inc. incurred total manufacturing costs of $696000, manufacturing overhead of $315000, and direct materials totalling $30000. How much is the amount of direct labour?
-
What are mixed files used for? What are other types of primary file organizations?
-
For the data in Exercise 17-19, use the FIFO method to summarize total costs to account for, and assign these costs to units completed and transferred out, and to units in ending work in process....
-
Explain the meaning of each of the following terms as they relate to a bond issue: (a) Convertible, (b) Callable, and (c) Debenture.
-
How would a bond payable be reported on the balance sheet if: (a) It is payable within one year and (b) It is payable beyond one year?
-
Using the bond from Practice Exercise 14-2A, journalize the first interest payment and the amortization of the related bond discount.
-
Why thin film on a glass surface can remove completely reflections at certain light wavelength? Magnesium fluoride (n = 1.38) is used as coating on nonreflecting glass. How thin coating is enough to...
-
How much work ( in joules) is done in lifting a 45.57 newton box from the floor to a table that is 0.73 meters above the floor? Round your final answer to two decimal places. A ball is thrown...
-
A 2,274.88 kilogram truck runs into the rear of a 1,067.75 kilogram stationary car. The truck and car are locked together after the collision and move with speed 8.93 meters per second. What was the...
Study smarter with the SolutionInn App