Help with these questions will be much appreciated. Unfortunately I am having a hard time trying to figure out these answers. I am a visual learner, and I would greatly appreciate it if you show me how you came up with this answer. Thank you in advance!

 

 

Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s inventory turnover ratio.

Round the answers to two decimal places

 

Balance Sheet December 31, 2011

Cash and marketable securities

$143,000

Accounts payable 

$278,000

Accounts receivable

$354,000

Notes payable

$87,000

Inventories

$672,000

Accrued expenses

$65,000

Prepaid expenses

$12,500

Total current liabilities

$430,000

Total current assets

$1,181,500

Long-term debt

$284,000

Gross fixed assets

$1,675,000

Par value and paid-in-capital

$228,000

Less: accumulated depreciation

$500,000

Retained Earnings

$1,414,500

Net fixed assets 

$1,175,000

Common Equity

1,642,500

Total assets

$2,356,500

Total liabilities and owner’s equity

$2,356,500

Income Statement Year of 2011

Net sales (all credit)

$3,136,600.00

Less: Cost of goods sold

$2,195,620.00

Selling and administrative expenses

$345,000.00

Depreciation expense

$146,000.00

EBIT

$449,980.00

Interest expense

$45,300.00

Earnings before taxes

$404,680.00

Income taxes

$161,872.00

Net income 

$242,808.00

Answer:

Accounts Receivable Turnover ratio

 

 

Question 2

0 / 1 point

 

 Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s accounts receivable turnover ratio.

Round the answers to two decimal places

 

Balance Sheet December 31, 2011

Cash and marketable securities

$143,000

Accounts payable 

$278,000

Accounts receivable

$354,000

Notes payable

$87,000

Inventories

$672,000

Accrued expenses

$65,000

Prepaid expenses

$12,500

Total current liabilities

$430,000

Total current assets

$1,181,500

Long-term debt

$284,000

Gross fixed assets

$1,675,000

Par value and paid-in-capital

$228,000

Less: accumulated depreciation

$500,000

Retained Earnings

$1,414,500

Net fixed assets 

$1,175,000

Common Equity

1,642,500

Total assets

$2,356,500

Total liabilities and owner’s equity

$2,356,500

Income Statement Year of 2011

Net sales (all credit)

$3,136,600.00

Less: Cost of goods sold

$2,195,620.00

Selling and administrative expenses

$345,000.00

Depreciation expense

$146,000.00

EBIT

$449,980.00

Interest expense

$45,300.00

Earnings before taxes

$404,680.00

Income taxes

$161,872.00

Net income 

$242,808.00

Answer:

Total Assets Turnover Ratio

 

 

 Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s total assets turnover ratio.

Round the answers to two decimal places

 

Balance Sheet December 31, 2011

Cash and marketable securities

$143,000

Accounts payable 

$278,000

Accounts receivable

$354,000

Notes payable

$87,000

Inventories

$672,000

Accrued expenses

$65,000

Prepaid expenses

$12,500

Total current liabilities

$430,000

Total current assets

$1,181,500

Long-term debt

$284,000

Gross fixed assets

$1,675,000

Par value and paid-in-capital

$228,000

Less: accumulated depreciation

$500,000

Retained Earnings

$1,414,500

Net fixed assets 

$1,175,000

Common Equity

1,642,500

Total assets

$2,356,500

Total liabilities and owner’s equity

$2,356,500

Income Statement Year of 2011

Net sales (all credit)

$3,136,600.00

Less: Cost of goods sold

$2,195,620.00

Selling and administrative expenses

$345,000.00

Depreciation expense

$146,000.00

EBIT

$449,980.00

Interest expense

$45,300.00

Earnings before taxes

$404,680.00

Income taxes

$161,872.00

Net income 

$242,808.00

Answer:

Fixed Assets Turnover Ratio

 

 

Question 4

0 / 1 point

 

 Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s fixed asset turnover ratio.

Round the answers to two decimal places

 

Balance Sheet December 31, 2014

 

Cash and marketable securities

$132,000

Accounts payable 

$399,000

Accounts receivable

$311,000

Notes payable

$98,500

Inventories

$512,000

Accrued expenses

$89,300

Prepaid expenses

$11,300

Total current liabilities

$586,800

Total current assets

$966,300

Long-term debt

$799,400

Gross fixed assets

$2,104,000

Par value and paid-in-capital

$298,000

Less: accumulated depreciation

$398,000

Retained Earnings

$988,100

Net fixed assets 

$1,706,000

Common Equity

1,286,100

Total assets

$2,672,300

Total liabilities and owner’s equity

$2,672,300

 

Income Statement, Year of 2014

Net sales (all credit)

$4,276,600.00

Less: Cost of goods sold

$3,292,982.00

Selling and administrative expenses

$349,000.00

Depreciation expense

$148,000.00

EBIT

$486,618.00

Interest expense

$49,600.00

Earnings before taxes

$437,018.00

Income taxes

$174,807.20

Net income 

$262,210.80

Answer:

Total Debt-to-Assets Ratio (Debt ratio)

 

 

Question 5

0 / 1 point

 

 Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s total debt-to-assets ratio ratio (also called Debt ratio).

Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box).

 

Balance Sheet December 31, 2015

Cash and marketable securities

$187,000

Accounts payable 

$217,000

Accounts receivable

$498,000

Notes payable

$51,500

Inventories

$799,000

Accrued expenses

$58,300

Prepaid expenses

$19,300

Total current liabilities

$326,800

Total current assets

$1,503,300

Long-term debt

$215,400

Gross fixed assets

$1,978,000

Par value and paid-in-capital

$128,000

Less: accumulated depreciation

$478,000

Retained Earnings

$2,333,100

Net fixed assets 

$1,500,000

Common Equity

2,461,100

Total assets

$3,003,300

Total liabilities and owner’s equity

$3,003,300

Income Statement, Year of 2015

Net sales (all credit)

$5,386,600.00

Less: Cost of goods sold

$3,716,754.00

Selling and administrative expenses

$329,000.00

Depreciation expense

$138,000.00

EBIT

$1,202,846.00

Interest expense

$39,600.00

Earnings before taxes

$1,163,246.00

Income taxes

$465,298.40

Net income 

$697,947.60

Answer:

Total Debt-to-Equity Ratio

 

Question 6

0 / 1 point

 

 Canadian Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s total debt-to-equity ratio. 

Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box).

 

Balance Sheet December 31, 2011

Cash and marketable securities

$143,000

Accounts payable 

$278,000

Accounts receivable

$354,000

Notes payable

$87,000

Inventories

$672,000

Accrued expenses

$65,000

Prepaid expenses

$12,500

Total current liabilities

$430,000

Total current assets

$1,181,500

Long-term debt

$284,000

Gross fixed assets

$1,675,000

Par value and paid-in-capital

$228,000

Less: accumulated depreciation

$500,000

Retained Earnings

$1,414,500

Net fixed assets 

$1,175,000

Common Equity

1,642,500

Total assets

$2,356,500

Total liabilities and owner’s equity

$2,356,500

Income Statement Year of 2011

Net sales (all credit)

$3,136,600.00

Less: Cost of goods sold

$2,195,620.00

Selling and administrative expenses

$345,000.00

Depreciation expense

$146,000.00

EBIT

$449,980.00

Interest expense

$45,300.00

Earnings before taxes

$404,680.00

Income taxes

$161,872.00

Net income 

$242,808.00

Answer:

Interest Coverage ratio (Times Interest Earned)

 

Question 7

0 / 1 point

 

 American Bacon Inc. financial statements are presented in the table below.

 Based on the information in the table, calculate the firm’s Interest Coverage ratio (also called Times Interest Earned).

Round the answers to two decimal places.

 

Balance Sheet December 31, 2010

Cash and marketable securities

$102,000

Accounts payable 

$287,000

Accounts receivable

$299,000

Notes payable

$61,200

Inventories

$628,000

Accrued expenses

$51,900

Prepaid expenses

$10,300

Total current liabilities

$400,100

Total current assets

$1,039,300

Long-term debt

$415,000

Gross fixed assets

$1,502,000

Par value and paid-in-capital

$376,000

Less: accumulated depreciation

$312,000

Retained Earnings

$1,038,200

Net fixed assets 

$1,190,000

Common Equity

1,414,200

Total assets

$2,229,300

Total liabilities and owner’s equity

$2,229,300

Income statement, Year of 2010

Net sales (all credit)

$6,387,700.00

Less: Cost of goods sold

$4,726,898.00

Selling and administrative expenses

$345,000.00

Depreciation expense

$148,000.00

EBIT

$1,167,802.00

Interest expense

$50,600.00

Earnings before taxes

$1,117,202.00

Income taxes

$446,880.80

Net income 

$670,321.20