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1. Biven Corporation's balance sheet and income st...

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1. Biven Corporation's balance sheet and income statement appear below: BALANCE SHEETS 2006 2005 ASSETS Cash & equivalents $35,000 $30,000 Accounta receivable 54,000 49,000 Inventory 67,000 58,000 Plant & equipment 580,000 530,000 Accumulated depreciation (316,000) (313,000) Total Assets $420,000 $354,000 LIABILITIES & EQUITIES Accounts payable $51,000 $57,000 Wages payable 26,000 24,000 Taxes payable 11,000 10,000 Deferred taxes payable 25,000 24,000 Bonds payable (long term) 77,000 90,000 Total liabilities 190,000 205,000 Common stock 33,000 30,000 Retained earnings 197,000 119,000 Total equities 230,000 149,000 Total liabilities & equities $420,000 $354,000 INCOME STATEMENTS 2006 2005 Sales $620,000 $520,000 Cost of goods sold 381,000 300,000 Gross margin 239,000 220,000 Selling & Admin expense 103,000 99,000 Net operating income 136,000 121,000 Gain on sale of plant & equipment 20,000 - Income before tax 156,000 121,000 Income tax 47,000 36,000 Net income $109,000 $85,000 Cash dividends were $31,000. The company sold equipment for $20,000. The equipment had originally cost $14,000 and was fully depreciated. Required: Prepare a statement of cash flows for 2006 using the indirect and direct methods. 2. Biven Corporation's balance sheet and income statement appear below: Increase BALANCE SHEETS (Decrease) 2006 2005 Amount Percent ASSETS Cash & equivalents $35,000 $30,000 Accounta receivable 54,000 49,000 Inventory 67,000 58,000 Plant & equipment 580,000 530,000 Accumulated depreciation (316,000) (313,000) Total Assets $420,000 $354,000 LIABILITIES & EQUITIES Accounts payable $51,000 $57,000 Wages payable 26,000 24,000 Taxes payable 11,000 10,000 Bonds payable 77,000 90,000 Deferred taxes 25,000 24,000 Total liabilities 190,000 205,000 Common stock 33,000 30,000 Retained earnings 197,000 119,000 Total equities 230,000 149,000 Total liabilities & equities $420,000 $354,000 INCOME STATEMENTS 2006 2005 Sales $620,000 $520,000 Cost of goods sold 381,000 300,000 Gross margin 239,000 220,000 Selling & Admin expense 103,000 99,000 Net operating income 136,000 121,000 Gain on sale of plant & equipment 20,000 - Income before tax 156,000 121,000 Income tax 47,000 36,000 Net income $109,000 $85,000 Cash dividends were $31,000. The company sold equipment for $20,000. The equipment had originally cost $14,000 and was fully depreciated. Required: Fill in the Amounts and Percent of change in the balance sheet and income statements. 3. Espinola Corporation's most recent balance sheet and income statement appear below: BALANCE SHEETS 2006 2005 ASSETS Cash & equivalents $320,000 $180,000 Accounta receivable 220,000 240,000 Inventory 140,000 130,000 Prepaid expenses 20,000 20,000 Total current assets 700,000 570,000 Plant & equipment, net 860,000 920,000 Total Assets $1,560,000 $1,490,000 LIABILITIES & EQUITIES Accounts payable $200,000 $170,000 Accrued payable 80,000 80,000 Notes payable, current 40,000 40,000 Total current liabilities 320,000 290,000 Bonds payable 210,000 220,000 Total liabilities 530,000 510,000 Preferred stock, $100 par value, 5% 100,000 100,000 Common stock, $1 par value 100,000 100,000 Additional paid in capital, common stock 150,000 150,000 Retained earnings 680,000 630,000 Total equities 1,030,000 980,000 Total liabilities & equities $1,560,000 $1,490,000 INCOME STATEMENT 2006 Sales $1,220,000 Cost of goods sold 790,000 Gross margin 430,000 Selling & Admin expense 268,000 Net operating income 162,000 Interest expense 26,000 Income before tax 136,000 Income tax 41,000 Net income 95,000 Dividends paid, preferred 5,000 Net income for common shareholders 90,000 Dividends paid, common 40,000 Net income added to retained earnings 50,000 Beginning retained earnings 630,000 Ending retained earnings $680,000 Other: Market value of stock end of year $12.87 Tax rate 30% Bond interest 10% Return demanded on preferred stock 10% Return demanded on common stock 14% Required compute the following for 2006 : a. Gross margin percentage. b. Earnings per share (of common stock). c. Price-earnings ratio. d. Dividend payout ratio. dividend per share dividend payout ratio e. Dividend yield ratio. f. Return on total assets. after tax cost of interest average total assets return on total assets g. Return on common stockholders' equity. average stockholders equity average preferred stock return on equity h. Book value per share. i. Working capital. j. Current ratio. k. Acid-test ratio. l. Accounts receivable turnover. m. Average collection period (days). n. Inventory turnover. o. Average sale period (days). p. Times interest earned. q. Debt-to-equity ratio. r. Show that financial leverage is positive or negative.,This is the one I am in desperate need of. The one that starts off with "Biven Corporation's balance sheet....",Hi, Are you working on this one?,This is the one I am in desperate need of. Are you going to work on this one? Thank you.

 

Paper#3602 | Written in 18-Jul-2015

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