ACC 280 E15-11 Scully Corporation’s comparative balance sheets are presented below.
Principles of Accounting: Weygandt, J. J., Kimmel, P. D., & Kieso, D. E. (2008).
Financial Accounting (6th ed.). Hoboken, NJ: Wiley.
Axia College of University of Phoenix (UoP)
E15-11 Scully Corporation’s comparative balance sheets are presented below.
SCULLY CORPORATION
Balance Sheets
December 31
2008 2007
Cash $ 4,300 $ 3,700 Accounts receivable 21,200 23,400 Inventory 10,000 7,000 Land 20,000 26,000 Building 70,000 70,000 Accumulated depreciation (15,000) (10,000) Total $110,500 $120,100 Accounts payable $ 12,370 $ 31,100 Common stock 75,000 69,000 Retained earnings 23,130 20,000 Total $110,500 $120,100
Scully’s 2008 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 2008.
(a) Current ratio.
(b) Acid-test ratio.
(c) Receivables turnover.
(d) Inventory turnover.
(e) Profit margin.
(f) Asset turnover.
(g) Return on assets.
(h) Return on common stockholders’ equity.
(i) Debt to total assets ratio.
File name: ACC-280-E15-11-Scully.doc File type: application/msword Price: $5
File name: ACC-280-E15-11-Scully.doc File type: application/msword Price: $5
