Lininax Co gives you the following data from their financial statements: COGS...
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Finance
Lininax Co gives you the following data from their financial statements:
COGS
$840
Cash
$195
Net Income
$192
A/R
$240
Inventory
$140
Net Fixed Assets
$850
Ratios
ROS
10%
Current Ratio
2.3
Inventory Turnover (COGS)
6.0x
ACP
45 days
Debt Ratio
49.12%
Calculate current assets, current liabilities, debt, equity, ROA, and ROE. Assume 360 days in a year. Round all your dollar answers to the nearest dollar.
To solve: You need to know both the components of the ratios in the table above and the components of the various components of the Income Stmt and the Balance Stmt. For example: remember the components of Current Assets (see Balance Sheet) and add up the values given above to find the Answer to A. below. Then use this value with the value for Current Ratio, to find the value for Current Liabilities.
No decimal places on your answers below (the ones with $ signs) - use only whole numbers
Current Assets: $
Current Liabilities: $
Debt: $
Equity: $
Round all your percentage answers to 1 decimal place.
ROA: %
ROE: %
Answer & Explanation
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