Use the following information to complete the balance sheet below; assume all sales are credit sales. Current

Question:

Use the following information to complete the balance sheet below; assume all sales are credit sales.

Current ratio = 2.2 times

Credit sales = $1,200m

Average collection period = 60 days

Inventory turnover = 1.50 times

Total asset turnover = 0.75 times

Debt ratio = 60percent

Use the following information to complete the balance sheet below;

Asset Turnover
Asset turnover is sales divided by total assets. Important for comparison over time and to other companies of the same industry. This is a standard business ratio. 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...