60.1K
Verified Solution
Link Copied!
Following is the balance sheet of Perez Company for 2018:
| PEREZ COMPANY Balance sheet |
| Assets | | | |
| Cash | $ | 14,650 | |
| Marketable securities | | 8,260 | |
| Accounts receivable | | 12,800 | |
| Inventory | | 11,200 | |
| Property and equipment | | 171,500 | |
| Accumulated depreciation | | (12,700 | ) |
| Total assets | $ | 205,710 | |
| Liabilities and Stockholders Equity | | | |
| Accounts payable | $ | 8,030 | |
| Current notes payable | | 3,480 | |
| Mortgage payable | | 4,550 | |
| Bonds payable | | 21,600 | |
| Common stock | | 114,500 | |
| Retained earnings | | 53,550 | |
| Total liabilities and stockholders equity | $ | 205,710 | |
| |
The average number of common stock shares outstanding during 2018 was 860 shares. Net income for the year was $15,100.
Required
Compute each of the following: (Round your answers to 2 decimal places.)
| |
| a. | Current ratio | | |
| b. | Earnings per share | | per share |
| c. | Quick (acid-test) ratio | | |
| d. | Return on investment | | % |
| e. | Return on equity | | % |
| f. | Debt to equity ratio | | % |
Answer & Explanation
Solved by verified expert
