What advice would you give to Juirgen PROBLEM 17-19 Incomplete Statements; Analysis of Ratios [LO2, LO3, L04] Incomplete financial statements for Tanner Company are given below: Tanner Company Income...

Extracted text: What advice would you give to Juirgen PROBLEM 17-19 Incomplete Statements; Analysis of Ratios [LO2, LO3, L04] Incomplete financial statements for Tanner Company are given below: Tanner Company Income Statement For the Year Ended December 31 Revenue. $2,700,000 Cost of goods sold.. Gross margin. Selling and administrative expenses . . ? Net operating income Interest expense 45,000 Net income before taxes ? Income taxes, 40%. ? Net income 2$ ? Scanned by CamScanı Financial Staterment Analysis 923 Tanner Company Balance Sheet. December 31 Non-current Assets: Plant and equipment, net Current assets: Accounts receivable, net . . Inventory.. Cash and cash equivalents. Total current assets $ ? Total assets $ ? Equity: Common stock, $2.50 par value Retained earnings Total equity . . .. Bonds payable, 10% Current liabilities ? $250,000 Total liabilities. ? Total equity and liabilities $ ? The following additional information is available about the company: Selected financial ratios computed from the statements above are given below: a. Current ratio 2.40 Acid-test ratio 1.12 Accounts receivable turnover 15.0 Inventory turnover . Debt-to-equity ratio 6.0 0.875 7.0 Times interest earned. $4.05 Earnings per share Return on total assets. 14% b. The interest expense on the income statement relates to the bonds payable; the amount of bonds outstanding did not change throughout the year. d. There were no changes in the number of shares of common stock outstanding during the year. Selected balances at the beginning of the current year (January 1) were as follows: All sales during the year were on account. c. C. Accounts receivable . . . Inventory Total assets $160,000 $280,000 $1,200,000 37 / 37 Required: Compute the missing amounts on the company's financial statements, (Hint: You may find it help- ful to think about the difference between the current ratio and the acid-test ratio.)