he balance sheet and income statement for the J. P. Robard Mfg. Company are as follows: LOADING... . Calculate the following ratios: Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity J. P. Robard Mfg., Inc. Balance Sheet ($000) Cash $500 Accounts receivable 1,900 Inventories 1,020 Current assets $3,420 Net fixed assets 4,540 Total assets $7,960 Accounts payable $1,150 Accrued expenses 570 Short-term notes payable 260 Current liabilities $1,980 Long-term debt 1,910 Owners' equity 4,070 Total liabilities and owners' equity $7,960 (Click on the icon in order to copy its contents into a spreadsheet.) J. P. Robard Mfg., Inc. Income Statement ($000) Net sales (all credit) $8,040 Cost of goods sold (3,360) Gross profit $4,680 Operating expenses (includes $500 depreciation) (3,090) Net operating income $1,590 Interest expense (370) Earnings before taxes $1,220 Income taxes (40%) (488) Net income $732
he balance sheet and income statement for the J. P. Robard Mfg. Company are as follows: LOADING... . Calculate the following ratios: Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity J. P. Robard Mfg., Inc. Balance Sheet ($000) Cash $500 Accounts receivable 1,900 Inventories 1,020 Current assets $3,420 Net fixed assets 4,540 Total assets $7,960 Accounts payable $1,150 Accrued expenses 570 Short-term notes payable 260 Current liabilities $1,980 Long-term debt 1,910 Owners' equity 4,070 Total liabilities and owners' equity $7,960 (Click on the icon in order to copy its contents into a spreadsheet.) J. P. Robard Mfg., Inc. Income Statement ($000) Net sales (all credit) $8,040 Cost of goods sold (3,360) Gross profit $4,680 Operating expenses (includes $500 depreciation) (3,090) Net operating income $1,590 Interest expense (370) Earnings before taxes $1,220 Income taxes (40%) (488) Net income $732
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 1Q: Define each of the following terms:
Liquidity ratios: current ratio; quick, or acid test,...
Related questions
Question
The balance sheet and income statement for the J. P. Robard Mfg. Company are as follows:
Calculate the following ratios:
LOADING...
.|
Current ratio
Times interest earned
Inventory turnover
Total asset turnover
Operating profit margin
|
Operating
Debt ratio
Average collection period
Fixed asset turnover
|
|
J. P. Robard Mfg., Inc.
Balance Sheet ($000)
|
|
|
Cash
|
$500
|
|
Accounts receivable
|
1,900
|
|
Inventories
|
1,020
|
|
Current assets
|
$3,420
|
|
Net fixed assets
|
4,540
|
|
Total assets
|
$7,960
|
|
|
|
|
Accounts payable
|
$1,150
|
|
Accrued expenses
|
570
|
|
Short-term notes payable
|
260
|
|
Current liabilities
|
$1,980
|
|
Long-term debt
|
1,910
|
|
Owners' equity
|
4,070
|
|
Total liabilities and owners' equity
|
$7,960
|
(Click
on the icon
spreadsheet.)
|
J. P. Robard Mfg., Inc.
Income Statement ($000)
|
|
|
Net sales (all credit)
|
$8,040
|
|---|---|
|
Cost of goods sold
|
(3,360)
|
|
Gross profit
|
$4,680
|
|
Operating expenses (includes $500 depreciation)
|
(3,090)
|
|
Net operating income
|
$1,590
|
|
Interest expense
|
(370)
|
|
Earnings before taxes
|
$1,220
|
|
Income taxes
(40%)
|
(488)
|
|
Net income
|
$732
|
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