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ACC 560 Week 10 Homework Chapter 14 (E14-4, E14-7, E14-11) To Purchase This Material Click below Link http://www.acc560help.com/ACC-560-Week-10-Homework-Chapter-14-(E144,-E14-7,-E14-11) FOR MORE CLASSES VISIT www.acc560help.com ACC 560 Week 10 Homework Chapter 14 (E14-4, E14-7, E14-11)

Chapter 14: Financial Statement Analysis

ACC 560 Week 10 Chapter 14 Exercises 4, 7, and 11 E14-4 The comparative condensed income statements of Emley Corporation are shown below. EMLEY CORPORATION Comparative Condensed Income Statements For the Years Ended December 31 2017

2016

Net $660,000 Cost 483,000 Gross 177,000 Operating 125,000

sales $600,000 of

goods

sold

420,000 profit 180,000 expenses 120,000


Net $ 52,000

income $ 60,000

Instructions a. Prepare a horizontal analysis of the income statement data for Emley Corporation using 2016 as a base. (Show the amounts of increase or decrease. b. Prepare a vertical analysis of the income statement data for Emley Corporation in columnar form for both years.

E14-7 Frizell Company has the following comparative balance sheet data.

FRIZELL COMPANY Balance Sheets December 31 2017 Cash $ 15,000

2016 $ 30,000

Accounts 70,000

60,000

Inventory 60,000

50,000

Plant 200,000

180,000

receivable

(net)

assets

(net)


$345,000

$320,000

Accounts $ 50,000

$ 60,000

Mortgage 100,000

100,000

Common 140,000

stock, 120,000

payable payable

Retained 55,000

40,000

$345,000

$320,000

(6%) $10

par earnings

Instructions Compute the following ratios at December 31, 2017. a. Current ratio. b. Acid-test ratio. c. Accounts receivable turnover. d. Inventory turnover.

E14-11 Wiemers Corporation's comparative balance sheets are presented on the next page.

WIEMERS CORPORATION


Balance Sheets December 31 2017 Cash $ 4,300 Accounts 21,200 Inventory 10,000

2016 $

3,700 receivable 23,400 7,000

Land 20,000

26,000

Buildings 70,000

70,000

Accumulated (15,000) Total $110,500

Accounts $ 12,370 Common 75,000 Retained 23,130 Total $110,500

(net)

depreciation—buildings (10,000) $120,100

payable $ 31,100 stock 69,000 earnings 20,000 $120,100


Wiemers's 2017 income statement included net sales of $100,000, cost of goods sold of $60,000, and net income of $15,000. Instructions Compute the following ratios for 2017. a. Current ratio. b. Acid-test ratio. c. Accounts receivable turnover. d. Inventory turnover. e. Profit margin. f. Asset turnover. g. Return on assets. h. Return on common stockholders' equity. i. Debt to assets ratio.

Acc 560 week 10 homework chapter 14 (e14 4, e14 7, e14 11)  
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