At the end of Year 1, the following information is available for Grumpy, Happy, and Doc Companies.

At the end of 2016 the following information is available for Jackson and Fargo companies: Jackson...

At the end of 2016 the following information is available for Jackson and Fargo companies: Jackson Fargo   Sales $ 1,043,400 $ 1,285,200   Cost of goods sold 697,200 775,200   Operating expenses 291,600 393,000   Total assets 1,360,000 1,400,000   Stockholders’ equity 390,000 390,000         Required a. Prepare a common size income statement for each company. (Round percentage answers to 1 decimal place.)        b. Compute the return on assets and return on equity for each company. (Round your answers to 2 decimal...

You boss has asked you to evaluate the year-end balance sheets for Daniel's Karate Studios: Assets:...

You boss has asked you to evaluate the year-end balance sheets for Daniel's Karate Studios: Assets: 2017 2016 Cash $ 200,000 $ 170,000 Accounts receivable 964,000 800,000 Inventories   2,000,000   1,400,000     Total current assets $3,164,000 $2,370,000 Net fixed assets   6,000,000   5,600,000 Total assets $9,164,000 $7,970,000 Liabilities and equity: Accounts payable $1,400,000 $1,090,000 Notes payable   1,600,000   1,800,000     Total current liabilities $3,000,000 $2,890,000 Long-term debt 2,500,000 2,500,000 Common stock 3,000,000 2,000,000 Retained earnings      664,000      580,000     Total common equity $3,664,000 $2,580,000 Total...

Select the correct answer THE FOLLOWING INFORMATION APPLIES TO QUESTIONS 1 THROUGH 4. On, Dec., 20,...

Select the correct answer THE FOLLOWING INFORMATION APPLIES TO QUESTIONS 1 THROUGH 4. On, Dec., 20, 2013, A (the investee) was merged into B. B issued 80,000 shares of its $10 par and $22 FMV per share to A stockholders for all issued and outstanding shares. The direct costs $240,000. Prior to the merger A balance sheet was (6 POINTS) Assets Cost FMV Lia & Stockholders’ equity Cost FMV Current assets 500000 575,000 Long term liabilities 750000 750000 Plant assets...

Ratios Analyzing Firm Profitability The following information is available for Crest Company: Annual Data 2013 2012...

Ratios Analyzing Firm Profitability The following information is available for Crest Company: Annual Data 2013 2012 Sales revenue $6,800,000 $6,000,000 Cost of goods sold 3,806,400 3,720,000 Net income 288,800 264,000 Year-End Data Dec. 31, 2013 Dec. 31, 2012 Total assets $2,880,000 $2,360,000 Common stockholders' equity 1,888,000 1,800,000 Calculate the following ratios for 2013: Round answers to one decimal place, unless otherwise noted. a. Gross profit percentage Answer% b. Return on sales Answer% c. Asset turnover (Round answer to two decimal...

Consider the following financial statements for Industrial Supply Company. (Actual) December 31, Balance sheet Year 1...

Consider the following financial statements for Industrial Supply Company. (Actual) December 31, Balance sheet Year 1 Comments Assets Cash $     400,000 20% increase (assumption) Accounts receivable 2,000,000 20% increase (assumption) Inventories 4,400,000 20% increase (assumption)     Total current assets $  6,800,000 Fixed assets, net $  1,200,000 20% increase (assumption)     Total assets (A) $  8,000,000 Liabilities and Equity Accounts payable (CL) $  1,200,000 20% increase (assumption) Notes payable 1,500,000     Total current liabilities $  2,700,000 Long-term debt 500,000 No change (assumption) Stockholders’ equity 4,800,000     Total liabilities and equity $  8,000,000...

Selected information from the comparative financial statements of Sky Company for the year ended December 31,...

Selected information from the comparative financial statements of Sky Company for the year ended December 31, appears below:                                                                                    2020                       2019   Accounts receivable (net) $270,000               $300,000 Inventory 210,000 240,000 Total assets                                                              1,800,000              1,200,000 Current liabilities                                                        210,000                 165,000 Long-term debt                                                          600,000                 450,000 Net credit sales                                                       1,995,000              1,050,000 Cost of goods sold                                                  1,350,000                 795,000 Interest expense                                                           75,000                   37,500 Income tax expense                                                     90,000                   43,500 Net income 225,000                 127,500 Required: Compute the following ratios at December 31, 2020: a.   Inventory turnover for 2020. b.  ...

Problem 15-15 Comprehensive Ratio Analysis [LO15-2, LO15-3, LO15-4, LO15-5, LO15-6] [The following information applies to the...

Problem 15-15 Comprehensive Ratio Analysis [LO15-2, LO15-3, LO15-4, LO15-5, LO15-6] [The following information applies to the questions displayed below.] You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company’s financial statements, including comparing Lydex’s performance to its major competitors. The company’s financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year...

1. Which of the following statements is not a purpose for a cash budget? A. A...

1. Which of the following statements is not a purpose for a cash budget? A. A cash budget indicates when the firm will be profitable. B. A cash budget indicates when and how much financing the firm will need. C. A cash budget can be compared with actual results to shape corrective actions. D. A cash budget can be a method of evaluating an employee’s performance. 2. Which of the following is not an accurate trade-off relevant to working capital...

You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety...

You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company’s financial statements, including comparing Lydex’s performance to its major competitors. The company’s financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $ 1,260,000 Marketable securities 0 300,000 Accounts receivable, net 2,700,000 1,800,000 Inventory 3,900,000...

ROI, Residual Income, Behavioral Issues Jump Start Company (JSC), a subsidiary of Mason Industries, manufactures go-carts...

ROI, Residual Income, Behavioral Issues Jump Start Company (JSC), a subsidiary of Mason Industries, manufactures go-carts and other recreational vehicles. Family recreational centers that feature go-cart tracks along with miniature golf, batting cages, and arcade games have increased in popularity. As a result, JSC has been pressured by Mason management to diversify into some of these other recreational areas. Recreational Leasing, Inc. (RLI), one of the largest firms leasing arcade games to these family recreational centers, is looking for a...