77. Laverde Corporation has provided the following data:
Year 2 Year 1
Inventory $185,000 $200,000
Total assets $1,489,000 $1,470,000
Sales $1,220,000
The company’s total asset turnover for Year 2 is closest to:
78. Spomer Corporation’s inventory at the end of Year 2 was $114,000 and its inventory at
the end of Year 1 was $120,000. Cost of goods sold amounted to $710,000 in Year 2. The
company’s inventory turnover for Year 2 is closest to:
79. Frantic Corporation had $130,000 in sales on account last year. The beginning accounts
receivable balance was $10,000 and the ending accounts receivable balance was $16,000. The
corporation’s accounts receivable turnover was closest to:
80. Data from Keniston Corporation’s most recent balance sheet and income statement
appear below:
This Year Last Year
Accounts receivable $128,000 $114,000
Inventory $228,000 $193,000
Sales on account $813,000
Cost of goods sold $597,000
The average collection period for this year is closest to:
81. Louie Corporation has provided the following data:
Year 2 Year 1
Accounts receivable $269,000 $290,000
Inventory $190,000 $160,000
Sales, on account $1,340,000
Cost of goods sold $860,000
The company’s operating cycle for Year 2 is closest to:
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:
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:
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:
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:
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:
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: