Recent Question

Presented below are selected data from the financial statements of Korn Corp. 1. Presented below are selected data from the financial statements of Korn Corp. for 2014 and 2013. 2014 2013 Net income $100,000 $123,000 Weighted average number of common shares outstanding 105,000 95,000 Market price per share of common stock at the end of the year $12.00 $10.00 Earnings per share $ 2.00 $ 1.83 The price-earnings ratio for 2014 i ...

Other / Other 22 Apr 2016

The company's accounts receivable turnover ratio was closest to 1. Eagle Company has $9,000 in cash, $11,000 in marketable securities, $26,000 in current receivables, $34,000 in inventories, and $40,000 in current liabilities. The company's quick ratio is closest to a. 1.35. b. 1.15. c. 2.00. d. 1.73. 2. Siri Company has $20,000 in cash, $8,000 in marketable securities, $36,000 in current receivables, $18,000 in inventories, ...

Other / Other 22 Apr 2016

Earnings per share is an indication of how much 1. Which profitability ratio requires the use of earnings per share and the current market price? a. return on common stockholders' equity b. dividend payout ratio c. dividend yield d. price-earnings ratio 2. Earnings per share is an indication of how much a. the company paid as dividends for each share of stock. b. the company earned for each share of outstanding common and ...

Other / Other 22 Apr 2016

Calculate Harper's inventory turnover ratio 1. Assuming a starting point of a 1:1 relationship, state the effect of the following transactions on the current ratio. Use increase, decrease, or no effect for your answer. A. Collection of an accounts receivable. B. Declaration of cash dividends. C. Additional stock is sold for cash. D. Short-term investments are purchased for cash. E. Equipment is purchased for cash. F. Inventory pur ...

Other / Other 22 Apr 2016

The market price of a share of common stock Figure 16-2. Financial statements for Grange Company appear below: Grange Company Comparative Balance Sheet December 31, 2014 and 2013 2014 2013 Current assets: Cash and marketable securities $ 180,000 $ 160,000 Accounts receivable, net 150,000 120,000 Inventory 100,000 100,000 Prepaid expenses 40,000 50,000 Total current assets 470,000 430,000 Noncurrent as ...

Other / Other 22 Apr 2016

London Company provided the following income statements Figure 16-6 London Company provided the following income statements for its first 3 years of operation: Year 1 Year 2 Year 3 Net sales $975,000 $1,150,000 $1,280,000 Less: cost of goods sold ($676,000) ($910,000) ($945,000) Gross margin $299,000 $240,000 $335,000 Less: Operating expenses ($185,000) ($215,000) ($235,000) ...

Other / Other 22 Apr 2016

Which one of the following would be considered a leverage ratio 1. A company has a receivables turnover of 15 times. The average net receivables during the period are $430,000. What is the amount of net credit sales for the period? a. $430,000 b. $6,450,000 c. $6,000,000 d. $500,000 2. A company has an average inventory on hand of $100,000 and the days in inventory are 73 days. What is the cost of goods sold? a. $500,000 b. ...

Other / Other 22 Apr 2016

Data concerning Bouerneuf Company's common stock 1. Clover Company's net income last year was $80,000. The company paid preferred dividends of $12,000 and its average common stockholders' equity was $340,000. The company's return on common stockholders' equity for the year was closest to a. 27.1%. b. 3.5%. c. 20.0%. d. 23.5%. 2. The average stockholders’ equity for Holloway Co. last year was $2,000,000. Included in t ...

Other / Other 22 Apr 2016

Holt Company reported the following on its income statement 1. Last year Fuller Company had a net income of $410,000, income tax expense of $50,000, and interest expense of $34,000. The company's times-interest-earned ratio was closest to a. 12.06. b. 9.88. c. 14.53. d. 13.53. 2. Cottle Company has total assets of $180,000 and total liabilities of $54,000. The company's debt-to-equity ratio is closest to a. 0.32. b. 2.3. c. ...

Other / Other 22 Apr 2016

A company has an account receivable turnover ratio 1. Toller Drug Store had net credit sales of $6,000,000 and cost of goods sold of $2,000,000 for the year. The Accounts Receivable balances at the beginning and end of the year were $350,000 and $250,000, respectively. The accounts receivable turnover ratio was a. 17.1 times. b. 10.0 times. c. 13.3 times. d. 20.0 times. 2. The Grand Department Store had net credit sales of $1 ...

Other / Other 22 Apr 2016