The following information relates to extract from financial data of Dorah Willemse Ltd for the ended 31 December 2010: Current assets - R 65000 Current liabilities - R60000 Accounts receivables - R20000 Inventory - R2000 Goodwill - R40000 Sales (on credit) - R365000 Cost of goods sold - R 280000 Calculate the Current Ratio Select one: A. 2.10 to 1 B. 0.10 to 1 C. 0.90 to 1 D. 1.08 to 1

The following information relates to extract from financial data of Dorah Willemse Ltd for the ended 31 December 2010: Current assets - R 65000 Current liabilities - R60000 Accounts receivables - R20000 Inventory - R2000 Goodwill - R40000 Sales (on credit) - R365000 Cost of goods sold - R 280000 Calculate the Current Ratio Select one: A. 2.10 to 1 B. 0.10 to 1 C. 0.90 to 1 D. 1.08 to 1

Name: The following information relates to extract from financial data of Do
Uploaded: 2022-11-18T00:26:54.000Z
Channel: Bartleby
Description: The following information relates to extract from financial data of Dorah Willemse Ltd for the ended 31 December 2010: Current assets - R 65000Current liabilities - R60000Accounts receivables - R20000Inventory - R2000Goodwill - R40000Sales (on cr

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.1E

See similar textbooks

Related questions

Q: Calculate the following ratios for Avartar Sdn. Bhd. for years ended 31 March 2019 and 31 March2018…

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: The following information was taken from statement of financial position of ABC Company. Calculate…

A: Solution:- 1)Calculation of current ratio =Current assets / Current liabilities

Q: Presented below is information for Novak Corp. for the month of January 2022. Cost of goods sold…

A: Introduction: Income statement: All revenues and expenses are shown in income statement. It tells…

Q: The following information was taken from the comparative financial statements of Rosso's Hardware…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: The accounting information collected from the MCM company is detailed in the attached tables.…

A: (Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: Analysis of the statement of financial position of Charon for the year ended 20X9 reveals the…

A: Given the following information: Current ratio = 2 : 1 Sales : Current assets = 5 : 1 Acid test…

Q: Selected hypothetical comparative statement data for the giant bookseller Barnes & Noble are…

A: Ratio analysis helps to analyze the financial statements of the company. The management can take…

Q: The questions in this section are based on the following data: Problem 2: ABC Company was formed on…

A: Non current assets = Property plant end equipment at cost - accumulated depreciation = land +…

Q: If current assets amounted to P600,000 and current liabilities amounted to P200,000, what is the…

A: 1. Calculate the current ratio by dividing the current assets which is P600,000 by the current…

Q: The condensed financial statements of Westward Corporation for 2009 and 2008 are presented…

A: Current ratio is a ratio which specifies about the ability of the company to pay-off their current…

Q: The income statement and selected balance sheet information for Direct Products Company for the year…

A: Cash flow from operating activities indicates the cash inflow or outflow transactions related to the…

Q: Hel Edison Co. reported the following for the current year: Net sales Cost of goods sold Net income…

A: Average Total assets = (Beginning Total assets + Ending Total assets) / 2 =(60000+68000)/2 = $64,000

Q: multiple-step income statement.

A: Multi-Step Income statement - Under multi-step income statement all expenses and income are dividend…

Q: dered good for manu- Changes in Various Ratios Presented below is selected information for Turner…

A: The financial ratios refer to the ratios that are calculated using the financial data from the…

Q: E5-9 In its income statement for the year ended December 31, 2010, Dingman Company ra ported the…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: The questions in this section are based on the following data: Problem 2: ABC Company was formed on…

A: Looking at the liabilities side of balance sheet, total liabilities and equity = P3700000

Q: The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as…

A: Cash flow statement: Cash flow statement is financial statement which summarizes the amount of…

Q: 1. Current ratio 2. Liquid ratio 3. Receivables turnover ratio and collection period

Q: Following are the financial statements of AB Ltd. for 2010. From the aforementioned table,…

A: The accounting ratio compares financial data between companies which are used for analyzing the…

Q: Given the following financial statements for Voice-Soft, a voice recognition company, answer the…

A: Ratio is a tool which is used to measure the firm’s performance by establishing the relation of…

Q: Data from National Corporation's most recent balance sheet appear below: Year 2 Year 1 Current…

A: Current assets: Current assets are all those assets that are expected to be sold or used as a result…

Q: The following data relate to Alpha Company: 2018 2017 Sales P500,000 P400,000 Cost of Goods Sold…

A: Under horizontal analysis, intra firm data of different period is compared to analyse the impact of…

Q: Based on this information, compute (a) the current ratio, (b) the days sales outstanding (c) the…

A: Lozano Chip Company The current ratio = Current asset / Current liabilities = $2925000 / 1453500 =…

Q: Compute the following ratios for the comparative periods (2018 and 2019). The company used 365 days…

A: "Since you have Posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: For the first picture, I need help finding the decimal number beside each number For the second…

A: Financial Statements: Financial statements are considered as a summary of the events that took place…

Q: JC Penney Company uses LIFO in applying the lower-of-cost-or-market. Recent financial state-ments…

A: Hello, since the student has posted multiple requirements, only the first three are answerable.…

Q: e income statements and balance sheets show the following selected information for 2017 and 2018:…

Q: The cost of goods sold was computed at P12,250. Total sales for the year were P42,950, of which…

A: Answer - Formula for Inventory Turnover ratio - = Cost of goods sold / (Beginning inventory +…

Q: Using these data from the comparative balance sheet of Cullumber Company, perform vertical analysis.…

A: The vertical analysis for balance sheet is prepared as percentage of different accounts values on…

Q: Refer to the following selected financial information from Gomez Electronics. Compute the compa…

A: Return on total asset is percentage of earning on average assets. Average assets means average of…

Q: . The Balance Sheets and Profit and Loss accounts of Beximco Pharma Ltd during 1999-2000 are…

A: Note:Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: The following information was extracted from the financial statement of Barry for the year ended 31…

A: Here in this case, we are require to calculate purchases, gross profit and net profit. We already…

Q: Following are data from the statements of two companies selling comparable products: Current…

A: Whenever a business or individual borrower is unable to satisfy their loan commitments, credit risk…

Q: The following data were taken from the financial statements of Tokyo Corporation: Annual Sales -…

A: Inventory is part of current assets as it can be converted into cash in a short time period.…

Q: Selected data taken from the accounting records of Ginis Inc. for the current year ended December 31…

A: a. Calculate the cash payments made for the merchandise.

Q: The following information is available for Cullumber Products: 2014 2013 Accounts…

A: Formula: Accounts receivable turnover = Net credit sales / Average Accounts receivable

Q: Footfall Manufacturing Ltd. reports the following financial information at the end of the current…

A: Note: Since you have asked multiple question, we will solve the first question for you. If you want…

Q: Presented below is information for Ayayai Company for the month of March 2020. Cost of goods sold…

A: Multiple income statement is prepared to segregate the income and expenses into different…

Q: The following financial ratios have been calculated for Nova Ltd for the year ended 30 June…

A: Ratios are the financial performance measure that is used by the companies to analyze the company's…

Q: What was the gross margin for 2022? * Selected information from the accounting records of the…

A: Accounts receivable turnover = Sales / Average accounts receivable 5 = sales /((900000+1000000) /2…

Q: Twenty metrics of liquidity solvency and profitability the comparative financial statements

A: As per protocol allowed to answer first three sub parts and post the remaining in the next…

Question

Practice Pack

OFFON

The following information relates to extract from financial data of Dorah Willemse Ltd for the ended 31 December 2010:

Current assets - R 65000

Current liabilities - R60000

Accounts receivables - R20000

Inventory - R2000

Goodwill - R40000

Sales (on credit) - R365000

Cost of goods sold - R 280000

Calculate the Current Ratio

Select one:

A. 2.10 to 1

B. 0.10 to 1

C. 0.90 to 1

D. 1.08 to 1

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

Includes step-by-step video

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Learn your way

Includes step-by-step video

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

The following financial ratios have been calculated for Nova Ltd for the year ended 30 June 2008:Ratio ActualresultsBudgetedresultsPreviousyearIndustry AverageCurrent ratio 1.97 1.92 1.87 1.92Quick asset ratio 1.06 1.06 1.06 1.11Inventory turnover 4.21 4.91 4.86 4.76Net profit ratio 0.05 0.03 0.03 0.03Gross margin 0.65 0.59 0.61 0.61Required:Provide four (4) possible explanations for the results of the various ratios for Nova Ltd and explaintheir implications for the audit.
Following are the financial statements of ABC Ltd. for 2010 Requirement: Calculate and interpret following ratios: 1. Current ratio 2. Liquid ratio 3. Receivables turnover ratio and collection period 4. Inventory turnover and holding period 5. Fixed assets turnover
1. Compute the following ratios for the comparative periods (2018 and 2019). The company used 365 days in its computation for some of the ratios. Show your solution. d. Accounts Receivable Turnover Ratio e. Average Collection Period f. Inventory Turnover Ratio g. Average Days in Inventory h. Number of days in Operating Cycle i. Debt to Total Assets Ratio j. Debt to Equity Ratio k. Times Interest Earned Ratio l. Gross Profit Ratio m. Profit Margin Ratio n. Return on Assets o. Return on Equity p. Assets Turnover Ratio
Following are the financial statements of AB Ltd. for 2010. From the aforementioned table, calculate the following: 1. Current ratio 2. Liquid ratio 3. Receivables turnover ratio and collection period 4. Inventory turnover and holding period 5. Fixed assets turnover 6. Total assets turnover 7. Debt ratio 8. D/E ratio 9. Interest coverage ratio 10. PAT margin 11. ROA 12. ROE 13. EPS 14. D/P ratio 15. P/E ratio 16. Book value per share
1. If current assets amounted to P600,000 and current liabilities amounted to P200,000, what is the current ratio of the entity? *a. P800,000b. P400,000c. 3d. 1/3 3. If net sales is P200,000 and the average accounts receivable is P50,000, what is the accounts receivable turnover ratio? *a. 4b. 1/4c. P150,000d. P250,000 5. If total assets amounted to P800,000 and total liabilities amounted to P200,000, what is the debt to equity ratio? *a. 4b. 0.3333c. 0.25d. 3
Question Calculate the following ratios for Megah Sdn. Bhd.: a)Inventories turnover (in days);Trade payables turnover ratio;Trade receivables turnover ratio.
Calculate the activity and liquidity ratios for P for the year ended 31 December 20X9. Revenue Gross profit Inventory Trade receivables Trade payables Cash Short-term investments Other current liabilities $m 1,867.5 489.3 147.9 393.4 275.1 53.8 6.2 284.3 Current ratio= Current assets Current liabilities Inventory days Inventory days = inventory+ cost of sales × 365 Receivable days Receivable days - receivables + credit sales x 365 Payable days Payable days = payables ÷ credit purchases x 365.
Question : Calculate the following ratios for Avartar Sdn. Bhd. for years ended 31 March 2019 and 31 March2018 : 11) Inventory turnover times (using closing inventories); 12) Inventory turnover days (using closing inventories); 13) Receivables collection period; 14) Payables payment period (using cost of sales); 15) Earnings per share; Provide the formulas used for calculating the ratios and all workings should be shown clearly. Answer probably please!!!!!
Selected ratios of Company X are shown below: Inventory turnover Days' sales uncollected Days' purchases in accounts payable Total asset turnover Equity ratio Times interest earned 2021 5.3 32.4 21.0 2.6 0.8 N.A. 2020 7.1 18.3 20.0 2.5 0.8 N.A. Using the financial ratios provided, analyse the performance of Company X in 2021 compared to the previous year.
Compute the following ratiosat December 31, 2019: i.Current ratio ii.Acid-test Ratio iii.Account Receivables Turnover iv.Average collection period v.Inventory Turnover vi.Days in inventory vii.Profit margin viii.Debts to Asset ratio ix.Return on Assets x.Times Interest Earned
Compute the Quick ratio if Current Assets: 10.354; Current Liabilities: 6.615; Inventory: 5.767; Cash: 1.013.a) 0.69 timesb) 0.75 timesc) 0.72 timesd) 0.15 times
The condensed financial statements of Ivanhoe Company for the years 2020-2021 are presented below: (See Images) Compute the following financial ratios by placing the proper amounts for numerators and denominators. (Round per unit answers to 2 decimal places, e.g. 52.75.) (a) Current ratio at 12/31/21 $ $ (b) Acid test ratio at 12/31/21 $ $ (c) Accounts receivable turnover in 2021 $ $ (d) Inventory turnover in 2021 $ $ (e) Profit margin on sales in 2021 $ $ (f) Earnings per share in 2021 $ (g) Return on common stockholders’ equity in 2021 $ $ (h) Price earnings ratio at 12/31/21 $ $ (i) Debt to assets at 12/31/21 $ $ (j) Book value per share at 12/31/21 $