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82.
Last year Truro Corporation purchased $800,000 of inventory. The cost of goods sold was
$750,000 and the ending inventory was $125,000. The inventory turnover for the year was:
13–326
83.
The accounts receivable for Note Corporation was $240,000 at the beginning of the year
and $260,000 at the end of the year. If the accounts receivable turnover for the year was 8
and 20% of the total sales were cash sales, the total sales for the year were:
13–327
84.
Smay Corporation has provided the following data:
This Year
Last Year
Accounts receivable
$107,000
$108,000
Inventory
$179,000
$187,000
Sales on account
$654,000
Cost of goods sold
$461,000
The accounts receivable turnover for this year is closest to:
13–328
85.
Rawe Corporation’s accounts receivable at the end of Year 2 was $329,000 and its
accounts receivable at the end of Year 1 was $280,000. Sales, all on account, amounted to
$1,350,000 in Year 2. The company’s average collection period (age of receivables) for
Year 2 is closest to:
13–329
86.
Pascarelli Corporation’s inventory at the end of Year 2 was $122,000 and its inventory at
the end of Year 1 was $150,000. Cost of goods sold amounted to $870,000 in Year 2. The
company’s average sale period (turnover in days) for Year 2 is closest to:
87.
Deflorio Corporation’s inventory at the end of Year 2 was $156,000 and its inventory at the
end of Year 1 was $140,000. The company’s total assets at the end of Year 2 were
$1,416,000 and its total assets at the end of Year 1 were $1,390,000. Sales amounted to
$1,320,000 in Year 2. The company’s total asset turnover for Year 2 is closest to:
88.
Data from Estrin Corporation’s most recent balance sheet and income statement appear
below:
This Year
Last Year
Accounts receivable
$109,000
$106,000
Inventory
$139,000
$158,000
Sales on account
$787,000
Cost of goods sold
$501,000
The average sale period for this year is closest to:
13–332
89.
Shipley Corporation has provided the following data from its most recent balance sheet:
Total assets
$760,000
Total liabilities
$590,000
Total stockholders’ equity
$170,000
The debt-to-equity ratio is closest to:
90.
Neelty Corporation has interest expense of $16,000, sales of $600,000, a tax rate of 30%,
and after-tax net income of $56,000. The company’s times interest earned ratio is closest
to:
91.
Falmouth Corporation’s debt to equity ratio is 0.6. Current liabilities are $120,000, long
term liabilities are $360,000, and working capital is $140,000. Total assets of the
corporation must be:
92.
Klein Corporation has provided the following data:
Year 2
Year 1
Total assets
$1,337,000
$1,310,000
Total liabilities
$598,000
$580,000
Total
stockholders’
equity
$739,000
$730,000
The company’s equity multiplier is closest to:
93.
Last year Javer Corporation had a net income of $200,000, income tax expense of $74,000,
and interest expense of $20,000. The corporation’s times interest earned was closest to:
94.
The times interest earned ratio of Whitney Corporation is 3.0. The interest expense for the
year is $21,000, and the corporation’s tax rate is 40%. The corporation’s after-tax net
income must be:
95.
A portion of Lapore Corporation’s Balance Sheet appears below:
Liabilities and Stockholders’ Equity
Year 2
Year 1
Current liabilities:
Accounts payable
$209,000
$200,000
Accrued liabilities
27,000
30,000
Notes payable, short term
94,000
90,000
Total current liabilities
330,000
320,000
Bonds payable
280,000
280,000
Total liabilities
610,000
600,000
Stockholders’ equity:
Common stock, $4 par value
360,000
360,000
Additional paid-in capital-common stock
70,000
70,000
Retained earnings
589,000
570,000
Total stockholders’ equity
1,019,000
1,000,000
Total liabilities & stockholders’ equity
$1,629,000
$1,600,000
The company’s debt-to-equity ratio at the end of Year 2 is closest to:
96.
Wittels Corporation has provided the following data:
Year 2
Year 1
Total assets
$1,253,000
$1,230,000
Total liabilities
$586,000
$570,000
Total
stockholders’
equity
$667,000
$660,000
In Year 2, the company’s net operating income was $42,571, its net income before taxes
was $21,571, and its net income was $15,100. The company’s equity multiplier is closest
to:
97.
Broch Corporation’s income statement appears below:
Income Statement
Sales (all on account)
$1,220,000
Cost of goods sold
760,000
Gross margin
460,000
Operating expenses
415,692
Net operating income
44,308
Interest expense
14,000
Net income before taxes
30,308
Income taxes (35%)
10,608
Net income
$19,700
The company’s times interest earned is closest to:
98.
Cutsinger Corporation has provided the following data from its most recent income
statement:
Net operating income
$55,000
Interest expense
$43,000
Net income before taxes
$12,000
Income taxes
$4,000
Net income
$8,000
The times interest earned ratio is closest to:
13–342
99.
Karma Corporation has total assets of $190,000 and total liabilities of $90,000. The
corporation’s debt-to-equity ratio is closest to:
13–343
100.
Rough Corporation’s total assets at the end of Year 2 were $1,247,000 and at the end of
Year 1 were $1,270,000. The company’s total liabilities at the end of Year 2 were $512,000
and at the end of Year 1 were $550,000. The company’s total stockholders’ equity at the
end of Year 2 was $735,000 and at the end of Year 1 was $720,000. The company’s equity
multiplier is closest to:
101.
Younis Corporation’s income statement appears below:
Income Statement
Sales (all on account)
$1,240,000
Cost of goods sold
780,000
Gross margin
460,000
Operating expenses
416,571
Net operating income
43,429
Interest expense
14,000
Net income before taxes
29,429
Income taxes (30%)
8,829
Net income
$20,600
The company’s net profit margin percentage is closest to:
