Question 25 3.03 pts Assume that the Liabilities and Stockholder\'s Equity for S

Question

Question 25 3.03 pts Assume that the Liabilities and Stockholder's Equity for Shine Co. as of Decebmer 31, 2011, are listed below. What is the ratio of liabilities to stockholders' equity on December 31, 2011? LIABILITIES Current liabilities $150,000 Long-term liabilities 215,000 Total liabilities 365,000 STOCKHOLDERS' EQUITY S 32,000 Preferred stock, 5% $100 par Common stock S10 par Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 270,000 351,000 S 653,000 $1,018,000 0 .5 0 .6 0 1.8 O 2.0

Explanation / Answer

Liabilities to stockholders' equity = 365000/653000=0.6 Option 2 is correct

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.