160.The following data are taken from the financial statements:
|
Current
|
Preceding
|
Year
|
Year
|
Average accounts receivable (net)
|
$123,000
|
$ 95,000
|
Accounts receivable (net), end of year
|
129,012
|
87,516
|
Sales on account
|
950,000
|
825,000
|
(a)Assuming that credit terms on all sales are n/45, determine for each year (1) the accounts receivableturnover and (2) the number of days' sales in receivables.
Round intermediate calculations to whole numbers and final answers to two decimal places.
(b)Comment on any significant trends revealed by the data.
161.The following data are taken from the financial statements:
|
Current
|
Preceding
|
Year
|
Year
|
Sales
|
$3,600,000
|
$4,000,000
|
Cost of goods sold
|
2,000,000
|
2,700,000
|
Average inventory
|
372,000
|
352,000
|
Inventory, end of year
|
372,000
|
347,000
|
(a)
(b)
|
Determine for each year (1) the inventory turnover, round answer to one decimal place.
(2) the number of days' sales in inventory. Round intermediate calculations to two decimalplaces and the final answer to whole number.
Comment on the favorable and unfavorable trends revealed by the data.
|
|
162.The balance sheet for Seuss Company at the end of the current fiscal year indicated the following:
Bonds payable, 10% (20-year term)
|
$5,000,000
|
Preferred 10% stock, $100 par
|
1,000,000
|
Common stock, $10 par
|
2,000,000
|
Income before income tax was $1,500,000 and income taxes were $200,000 for the current year. Cash dividendspaid on common stock during the current year totaled $150,000. The common stock sells for $70 per share at theend of the year.
Determine each of the following:
(a)Number of times interest charges are earned
(b)Earnings per share on common stock
(c)Price-earnings ratio
(d)Dividends per share of common stock
(e)Dividend yield
Round to one decimal place except earnings per share and dividends per share, which should be rounded to twodecimal places.