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ACC - McCord Corporation

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Question;Selected year-end financial statements of McCord Corporation follow. (All sales were on credit, selected balance sheet amounts at December 31, 2010, were inventory, $53,900, total assets, $219,400, common stock, $115,000, and retained earnings, $52,948.)McCORD CORPORATION Income Statement For Year Ended December 31, 2011 Sales $ 454,600 Cost of goods sold 297,950 Gross profit 156,650 Operating expenses 98,500 Interest expense 4,800 Income before taxes 53,350 Income taxes 21,492 Net income $ 31,858 McCORD CORPORATION Balance Sheet December 31, 2011 Assets Liabilities and Equity Cash $ 20,000 Accounts payable $ 21,500 Short-term investments 8,200 Accrued wages payable 3,200 Accounts receivable, net 31,800 Income taxes payable 4,600 Notes receivable (trade)* 6,000 Long-term note payable, secured Merchandise inventory 34,150 by mortgage on plant assets 64,400 Prepaid expenses 2,900 Common stock 115,000 Plant assets, net 149,300 Retained earnings 43,650 Total assets $ 252,350 Total liabilities and equity $ 252,350 * These are short-term notes receivable arising from customer (trade) sales.Required:Compute the following. (Use 365 days a year. Do not round intermediate calculations and round your final answers to 1 decimal place. Omit the "%" sign in your response): (1) Current ratio to (2) Acid-test ratio to (3) Days' sales uncollected (including note) days (4) Inventory turnover times (5) Days' sales in inventory days (6) Debt-to-equity ratio to (7) Times interest earned times (8) Profit margin ratio % (9) Total asset turnover times (10) Return on total assets % (11) Return on common stockholders' equity

 

Paper#39990 | Written in 18-Jul-2015

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