Working Capital and Current Ratio
The balance sheet of Kries, Inc. includes the following
items:
Cash...
Working Capital and Current Ratio
The balance sheet of Kries, Inc. includes the following
items:
Cash
$23,000
Accounts payable
$ 52,200
Accounts receivable
13,000
Salaries payable
1,200
Inventory
45,000
Capital stock
100,000
Prepaid insurance
800
Retained earnings
5,700
Land
80,000
Required:
1. Determine the current ratio and working
capital. If required, round current ratio to two decimal
places.
Information from Gre Company's balance sheet follows
Current Assets
Cash
$2,100,000
Marketable Securities
7,200,000...
Information from Gre Company's balance sheet follows
Current Assets
Cash
$2,100,000
Marketable Securities
7,200,000
Accounts Receivable
50,500,000
Inventories
65,000,000
Prepaid expenses
1,000,000
Total current assets
$125,800,000
Current Liabilities
Notes payable
$1,400,000
Accounts payable
18,000,000
Accrued expenses
11,000,000
Income taxes payable
600,000
Current portion of long-term debt
3,000,000
Total current liabilities
$34,000,000
What is the acid-test ratio for Greg Company?
Select one:
a. 1.60
b. 1.76
c. 2.20
d....
Based on the following data, what is the amount of working
capital?
Accounts payable
$62720
Accounts...
Based on the following data, what is the amount of working
capital?
Accounts payable
$62720
Accounts receivable
111720
Cash
68600
Intangible assets
98000
Inventory
135240
Long-term investments
156800
Long-term liabilities
196000
Short-term investments
78400
Notes payable (short-term)
54880
Property, plant, and equipment
1313200
Prepaid insurance
1960
$278320
$325360
$362600
$319480
The balance sheet of Jones Design Company contained the
following items, among others:
Cash
60,000
Accounts...
The balance sheet of Jones Design Company contained the
following items, among others:
Cash
60,000
Accounts Receivable
82,000
Inventory
12,000
Building (net)
450,000
Other Assets
55,500
Mortgage payable (due in 3 years)
118,000
Notes Payable (due in 6 months)
38,000
Accounts Payable
19,000
Capital Stock
338,000
Retained Earnings
146,500
From the above information compute:
(1) Current assets: $_______
(2) Current liabilities: $______
(3) The current ratio: ______ to 1
(4) Working capital: $______
(5) Quick ratio: ________to 1
Denna Company’s
working capital accounts at the beginning of the year follow:
Cash
$
66,000
Marketable...
Denna Company’s
working capital accounts at the beginning of the year follow:
Cash
$
66,000
Marketable
securities
$
26,800
Accounts
receivable, net
$
340,400
Inventory
$
449,600
Prepaid
expenses
$
7,200
Accounts
payable
$
192,800
Notes due within
one year
$
92,000
Accrued
liabilities
$
56,400
During the year, Denna
Company completed the following transactions:
Paid a cash dividend previously declared,
$26,000.
Issued additional shares of common stock for cash,
$192,000.
Sold inventory costing $66,800 for $96,000, on
account.
Wrote...
An investment project has the following cash flows: Initial
investment of $1,000,000 and cash flows starting...
An investment project has the following cash flows: Initial
investment of $1,000,000 and cash flows starting in the first year
through year 4 of $300,000 each. If the required rate of return is
12% What is the present value for each cash flow? What is the NPV
and what decision should be made using the NPV?
The capital structure of a company consists of debt and equity.
The firm has 100,000 bonds...
The capital structure of a company consists of debt and equity.
The firm has 100,000 bonds outstanding that are selling at par
value. The par value of each bond is $1,000. Bonds with similar
characteristics are yielding a before-tax return of 8 percent. The
company also has 10 million shares of common stock outstanding. The
stock has a beta of 1.5 and sells for $30 a share. The return on
U.S. Treasury bills is 4 percent and the market rate...