Can You Solve the Problem? Directions: Read and analyze the problemthen prepare the recessary requirements. Veery Beery Company Statement of Financial Position For the Year-ended December 31 2019 P...


Can You Solve the Problem?<br>Directions: Read and analyze the problemthen prepare the recessary requirements.<br>Veery Beery Company<br>Statement of Financial Position<br>For the Year-ended December 31<br>2019<br>P 400,000<br>5,600,000<br>1,480,000<br>1,380,000<br>8,860,000<br>10,860,000<br>6,800,000<br>P 17,660,000<br>P 6,600,000<br>2020<br>180,000<br>1,800,000<br>1,060,000<br>1,640,000<br>4,680,000<br>Cash<br>Short-term investments<br>Accounts receivable<br>Inventory<br>Other Cunent Assets<br>P<br>Total Cunent Assets<br>Equipment<br>Total Assets<br>Accounts Payable<br>Notes Payable - long tem<br>Owner, Capital<br>|Total liabilities and equity<br>5,040,000<br>5,200,000<br>P 10,240,000<br>P 2,620,000<br>2,120,000<br>5,500,000<br>P 10,240,000<br>2,460,000<br>8,600,000<br>P 17,660,000<br>Veery Beery Company<br>Statement of Comprehensive Income<br>For the Year-ended December 31<br>Sales<br>Cost of Goods Sold<br>GIDss Profit<br>Operating Expenses<br>| Operating Income<br>Interest Expense<br>Net Income<br>2019<br>P 10,040,000<br>5,680,000<br>4,360,000<br>1,160,000<br>3,200,000<br>100,000<br>P 3,1000,000<br>2020<br>P 8,760,000<br>5,860,000<br>2,800,000<br>1,680,000<br>1,220,000<br>28,000<br>P 1,192,000<br>Requirements: Compute for the following financial ratios.<br>1. Current ratio<br>Quick ratio<br>3. Working capital<br>4. Inventory tumover<br>5. Days of inventory (use 365 days)<br>6. Accounts receivable tumover (assume all sales are on credit)<br>7. Days of receivable (use 365 days)<br>8. Debt ratio<br>9. Equity ratio<br>10. Debt-to-equity ratio<br>11. Gross profit ratio<br>12. Net profit ratio<br>13. Retum on assets<br>14. Retum on equity<br>

Extracted text: Can You Solve the Problem? Directions: Read and analyze the problemthen prepare the recessary requirements. Veery Beery Company Statement of Financial Position For the Year-ended December 31 2019 P 400,000 5,600,000 1,480,000 1,380,000 8,860,000 10,860,000 6,800,000 P 17,660,000 P 6,600,000 2020 180,000 1,800,000 1,060,000 1,640,000 4,680,000 Cash Short-term investments Accounts receivable Inventory Other Cunent Assets P Total Cunent Assets Equipment Total Assets Accounts Payable Notes Payable - long tem Owner, Capital |Total liabilities and equity 5,040,000 5,200,000 P 10,240,000 P 2,620,000 2,120,000 5,500,000 P 10,240,000 2,460,000 8,600,000 P 17,660,000 Veery Beery Company Statement of Comprehensive Income For the Year-ended December 31 Sales Cost of Goods Sold GIDss Profit Operating Expenses | Operating Income Interest Expense Net Income 2019 P 10,040,000 5,680,000 4,360,000 1,160,000 3,200,000 100,000 P 3,1000,000 2020 P 8,760,000 5,860,000 2,800,000 1,680,000 1,220,000 28,000 P 1,192,000 Requirements: Compute for the following financial ratios. 1. Current ratio Quick ratio 3. Working capital 4. Inventory tumover 5. Days of inventory (use 365 days) 6. Accounts receivable tumover (assume all sales are on credit) 7. Days of receivable (use 365 days) 8. Debt ratio 9. Equity ratio 10. Debt-to-equity ratio 11. Gross profit ratio 12. Net profit ratio 13. Retum on assets 14. Retum on equity

Jun 02, 2022
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