What\'s is current ratio Quick ratio Gross profit margin General overhead ratio

Question

What's is current ratio Quick ratio Gross profit margin General overhead ratio net profit margin Return on assets the financial statement information below to compute ratios current Asset Accounts Receivable trade Inventory Prepaid Insurance 30,000 31,000 80,000 10,000 6,000 115,000127,000 60,000 20,000 5,000 Total Current Assets Fixed Assets Building and Land Equipment Office Equipment 85,000 85,000 130,000130,000 28,000 | 30,000 100,000 343,000 $ 458,000 $ 80,000 325,000 452,000 Less accum Depreciation Net Fixed Assets e Total Assets Current Liabilities Accounts Payable - Trade Notes Payable $ 130,000 s 150.000 160,000 190,000 30,000 40,000 Total Current Liabilities Long Term Liabilities 135,000 132,000 Total Liabilites 295,000 322,000 Owner's Equity Capital Stock- Common Stock Retained Earnings Total Equity Total Liabilities and Owner's Equity 5,000 125,000 130,000 S 458,000 452,000 5,000 158,000 163,000 2015 $ 1,500,000 e Revenues Construction Costs Materials Subcontract Equipment 600,000 800,000 15,000 2,000 Total Construction Costs 1,417,000 83,000 Gross Profit Equipment Costs Rent/Lease Payments Depreciation Repairs Fluids Equipment cost charge to job. Total equipment costs 5,500 1,500 2,000 6,000 15,000) 50 Net Profit from Operations 33,000 Page 6 of 8

Explanation / Answer

Current Ratio = Current assets / Current Liabilities 2015 =115000 / 160000 0.72 2014 = 127000 / 190000 0.67 Quick Ratio = (Cash + Marketable securities + accounts receivable) / Current liabilities 2015 = (30000 + 0 + 60000) / 160000 0.56 2014 =(31000 + 0 + 80000) / 190000 0.58 Gross profit margin = Gross profit / Revenues * 100 = 83,000 / 15,00,000 * 100 5.53% General overhead ratio = Operating Expenses / (taxable net interest income + operating income) = 1417000 / 1500000 0.94 Net profit margin = Net profit / total sales *100 = 33,000 / 15,00,000 *100 2.20% Return on assets = Net income / Total assets * 100 = 33,000 / 4,58,000 * 100 7.21%

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

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