Calculate the percent increases for each of the following selected balance sheet items. $\begin{array}{c} \begin{array}{|l|} \hline \\ \hline \text {Cash}\\ \hline \text {Accounts receivable}\\ \hline \text {Merchandise inventory}\\ \hline \text {Plant assets}\\ \hline \text {Bonds payable}\\ \hline \text {Equity}\\ \hline \end{array} \begin{array}{r|} \hline2018 \\ \hline \$ \quad 569 \\ \hline 2,234 \\ 1,062 \\ \hline 2,432 \\ \hline 1,164 \\ \hline 2,777\\ \hline \end{array} \begin{array}{r|} \hline2017 \\ \hline \$ \quad 448 \\ \hline 2,337 \\ 1,071 \\ \hline 2,138 \\ \hline 1,666 \\ \hline 2,894\\ \hline \end{array} \end{array}$

\[\begin{array} { l | l | l | l | c | }

A corporation reports the following year-end balance sheet data. The company's working capital equals: \[\begin{array} { l r l r } \text { Cash } & \$ 40,000 & \text { Current liabilities } & \$ 75,000 \\ \text { Accounts receivable } & 55,000 & \text { Lore-tern liabilities } & 35,000 \\ \text { Irventory } & 60,000 & \text { Corrnon stock } & 100,000 \\ \text {Equipment} & \underline{145,000 }& \text { Retained earnings } & \underline{90,000} \\ \text {Total assets}&\underline{ \$ 300,000 }& \text { Total liabilities ard equity } & \underline{\$ 300,000} \end{array}\]

A) $80,000 B) $155,000 C) $75,000 D) $300,000 E) $190,000 A) $80,000 B) $155,000 C) $75,000 D) $300,000 E) $190,000

Comparative statements for Warmer Corporation are shown below: $\quad $ $\quad $ $\quad $ $\quad $ $\quad $ $\quad $$\text {Warmer Corporation}$ $\quad $ $\quad $ $\quad $ $\quad $ $\quad $$\text {Comparative Income Statements}$ $\quad $ $\quad $ $\quad $ $\quad $ $\quad $$\text {For the years ended December 31}$ $\begin{array}{|l|r|r|r|} \hline \text { Sales } & {2018} & {2017} &{2016} \\ \hline \text { Cost of goods sold } & \$ 14,800 & \$ 13,229 & \$ 13,994 \\ \hline \text { Gross profit } & 8,224 & 8,661 & 8,375 \\ \hline \text { Operating expenses } & 6,571 & 4,568 & 5,619 \\ \hline \text { Operating income } & 3,664 & 3,576 & 3,487 \\ \hline \end{array}$ Calculate trend percentages for all income statement amounts shown and comment on the results. Use 2016 as the base year. Comment on the results.

Warmer Corporation Comparative Income St

Refer to the following selected financial information from Frankle Corp. Compute the company's current ratio. \[\begin{array} { | l | r | } \hline & \\ \hline \text { Current assets } & 306,450 \\ \hline \text { Plant assets } & 388,000 \\ \hline \text { Current Liabilities } & 107,800 \\ \hline \text { Net sales } & 676,000 \\ \hline \text { Net Income } & 75,000 \\ \hline \end{array}\]

A) 6.44. B) 2.84. C) 6.27. D) 3.60. E) 1.44. A) 6.44. B) 2.84. C) 6.27. D) 3.60. E) 1.44.

A corporation reports the following year-end balance sheet data. The company's debt ratio equals: \[\begin{array} { | l | r| r| r | } \hline \text { Cash } & \$ 40,000 & \text { Current liabilities } & \$ 75,000 \\ \hline \text { Accounts receivable } & 55,000 & \text { Long-term liabilities } & 35,000 \\ \hline \text { nnventory } & 60,000 & \text { Common stock } & 100,000 \\ \hline \text { Equipment } & \underline { 145,000 } & \text { Retained earnings } & \underline { 90,000 } \\ \hline \text { Total assets } &\underline{\$ 300,000 }& \text { Total liabilities and equity } & \underline{\$ 300,000} \\ \hline \end{array}\]

A) 0.58 B) 1.27 C) 2.07 D) 0.37 E) 0.63 A) 0.58 B) 1.27 C) 2.07 D) 0.37 E) 0.63

Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for cost of goods sold using 2016 as the base. \[\begin{array} { | l | r | r| } \hline & { 2017 } & { \mathbf { 2 0 1 6 } } \\ \hline \text { Net sales } & \$ 276,200 & \$ 231,400 \\ \hline \text { Cost of goods sold } & 151,900 & 129,590 \\ \hline \text { Operating expenses } & 55,240 & 53,240 \\ \hline \text { Net earnings } & 27,82 \mathrm {~d} & 19,820 \\ \hline \end{array}\]

A) 36.4% for 2017 and 41.1% for 2016. B) 55.0% for 2017 and 56.0% for 2016. C) 119.4% for 2017 and 100.0% for 2016. D) 117.2% for 2017 and 100.0% for 2016. E) 65.1% for 2017 and 64.6% for 2016. A) 36.4% for 2017 and 41.1% for 2016. B) 55.0% for 2017 and 56.0% for 2016. C) 119.4% for 2017 and 100.0% for 2016. D) 117.2% for 2017 and 100.0% for 2016. E) 65.1% for 2017 and 64.6% for 2016.

Exam 13: Analysis of Financial Statements

Calculate the percent increases for each of the following selected balance sheet items. Cash Accounts receivable Merchandise inventory Plant assets Bonds payable Equity 2018 \ 569 2,234 1,062 2,432 1,164 2,777 2017 \ 448 2,337 1,071 2,138 1,666 2,894

(Essay)

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Question 141

A corporation reports the following year-end balance sheet data. The company's working capital equals: Cash \ 40,000 Current liabilities \ 75,000 Accounts receivable 55,000 Lore-tern liabilities 35,000 Irventory 60,000 Corrnon stock 100,000 Equipment Retained earnings Total assets Total liabilities ard equity

(Multiple Choice)

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Question 142

Guidelines (rules-of-thumb) are general standards of comparison developed from:

(Multiple Choice)

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Question 143

The following selected financial information for a company was reported for the current year end. Calculate the following company ratios: (a) Accounts receivable turnover. (b) Inventory turnover. (c) Days' sales uncollected Accounts receivable, beginning-year……………. $170,000 Accounts receivable, year-end…………………… 190,000 Merchandise inventory, beginning-year…………. 80,000 Merchandise inventory, year-end………………… 60,000 Cost of goods sold………………………………... 580,000 Credit sales………………………………………... 1,000,000

(Essay)

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Question 144

Ash Company reported sales of $400,000 for Year 1, $450,000 for Year 2, and $500,000 for Year 3. Using Year 1 as the base year, what is the revenue trend percent for Years 2 and 3?

(Multiple Choice)

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Question 145

The use of debt is sometimes described as financial leverage because debt can have the effect of increasing the return on equity.

(True/False)

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Question 146

Jones Corp. reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet. The current assets consisted of $62,000 Cash; $43,000 Accounts Receivable; and $88,000 of Inventory. The acid-test (quick) ratio is:

(Multiple Choice)

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Question 147

A financial statement analysis report does not include:

(Multiple Choice)

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Question 148

Net income divided by average total assets is:

(Multiple Choice)

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Question 149

Comparative statements for Warmer Corporation are shown below: $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\text {Warmer Corporation}$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\text {Comparative Income Statements}$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\text {For the years ended December 31}$ Sales 2018 2017 2016 Cost of goods sold \ 14,800 \ 13,229 \ 13,994 Gross profit 8,224 8,661 8,375 Operating expenses 6,571 4,568 5,619 Operating income 3,664 3,576 3,487 Calculate trend percentages for all income statement amounts shown and comment on the results. Use 2016 as the base year. Comment on the results.

(Essay)

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Question 150

Refer to the following selected financial information from Frankle Corp. Compute the company's current ratio. Current assets 306,450 Plant assets 388,000 Current Liabilities 107,800 Net sales 676,000 Net Income 75,000

(Multiple Choice)

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Question 151

A good financial statement analysis report usually includes the following six sections: (1) , (2) , (3) , (4) (5) , and (6) .

(Essay)

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Question 152

A good financial statement analysis report often includes the following sections: executive summary, analysis overview, evidential matter, assumptions, key factors, and inferences.

(True/False)

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Question 153

The return on total assets ratio is a profitability measure.

(True/False)

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Question 154

Desjardin Landscaping's income statement reports net income of $75,300, which includes deductions for interest expense of $11,500 and income taxes of $34,900. Its times interest earned is:

(Multiple Choice)

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Question 155

A corporation reports the following year-end balance sheet data. Calculate the following ratios: (a) working capital (b) acid-test ratio (c) current ratio (d) debt ratio (e) equity ratio (f) debt-to-equity ratio Cash……………………….. $ 50,000 Current liabilities $ 64,000 Accounts receivable………. 35,000 Long-term liabilities………. 72,000 Inventory………………….. 60,000 Common stock…………….. 100,000 Equipment………………… 140,000 Retained earnings…………. 49,000 Total assets……………….. $285,000 Total liabilities and equity $285,000

(Essay)

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Question 156

A corporation reports the following year-end balance sheet data. The company's debt ratio equals: Cash \ 40,000 Current liabilities \ 75,000 Accounts receivable 55,000 Long-term liabilities 35,000 nnventory 60,000 Common stock 100,000 Equipment Retained earnings Total assets Total liabilities and equity

(Multiple Choice)

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Question 157

A company's sales in Year 1 were $250,000 and in Year 2 were $287,500. Using Year 1 as the base year, the percent change for Year 2 compared to the base year is:

(Multiple Choice)

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Question 158

Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for cost of goods sold using 2016 as the base. 2017 Net sales \ 276,200 \ 231,400 Cost of goods sold 151,900 129,590 Operating expenses 55,240 53,240 Net earnings 27,82 19,820

(Multiple Choice)

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Question 159

The building blocks of financial statement analysis do not include:

(Multiple Choice)

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Question 160

Calculate the percent increases for each of the following selected balance sheet items. Cash Accounts receivable Merchandise inventory Plant assets Bonds payable Equity 2018 \ 569 2,234 1,062 2,432 1,164 2,777 2017 \ 448 2,337 1,071 2,138 1,666 2,894

Guidelines (rules-of-thumb) are general standards of comparison developed from:

Ash Company reported sales of $400,000 for Year 1, $450,000 for Year 2, and $500,000 for Year 3. Using Year 1 as the base year, what is the revenue trend percent for Years 2 and 3?

The use of debt is sometimes described as financial leverage because debt can have the effect of increasing the return on equity.

Jones Corp. reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet. The current assets consisted of $62,000 Cash; $43,000 Accounts Receivable; and $88,000 of Inventory. The acid-test (quick) ratio is:

A financial statement analysis report does not include:

Net income divided by average total assets is:

Refer to the following selected financial information from Frankle Corp. Compute the company's current ratio. Current assets 306,450 Plant assets 388,000 Current Liabilities 107,800 Net sales 676,000 Net Income 75,000

A good financial statement analysis report usually includes the following six sections: (1) , (2) , (3) , (4) (5) , and (6) .

A good financial statement analysis report often includes the following sections: executive summary, analysis overview, evidential matter, assumptions, key factors, and inferences.

The return on total assets ratio is a profitability measure.

Desjardin Landscaping's income statement reports net income of $75,300, which includes deductions for interest expense of $11,500 and income taxes of $34,900. Its times interest earned is:

A company's sales in Year 1 were $250,000 and in Year 2 were $287,500. Using Year 1 as the base year, the percent change for Year 2 compared to the base year is:

Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for cost of goods sold using 2016 as the base. 2017 Net sales \ 276,200 \ 231,400 Cost of goods sold 151,900 129,590 Operating expenses 55,240 53,240 Net earnings 27,82 19,820

The building blocks of financial statement analysis do not include:

Managerial Accounting Concepts and Principles

Job Order Costing and Analysis

Process Costing and Analysis

Activity Based Costing and Analysis

Cost Behavior Cost-Volume-Profit Analysis

Variable Costing and Analysis

Master Budgets and Performance Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting Cash Flows

Time Value of Money

Analyzing for Business Transactions

Partnership Accounting

Filters

Exam 13: Analysis of Financial Statements

Calculate the percent increases for each of the following selected balance sheet items. Cash Accounts receivable Merchandise inventory Plant assets Bonds payable Equity 2018 \ 569 2,234 1,062 2,432 1,164 2,777 2017 \ 448 2,337 1,071 2,138 1,666 2,894

Guidelines (rules-of-thumb) are general standards of comparison developed from:

Ash Company reported sales of $400,000 for Year 1, $450,000 for Year 2, and $500,000 for Year 3. Using Year 1 as the base year, what is the revenue trend percent for Years 2 and 3?

The use of debt is sometimes described as financial leverage because debt can have the effect of increasing the return on equity.

Jones Corp. reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet. The current assets consisted of $62,000 Cash; $43,000 Accounts Receivable; and $88,000 of Inventory. The acid-test (quick) ratio is:

A financial statement analysis report does not include:

Net income divided by average total assets is:

Refer to the following selected financial information from Frankle Corp. Compute the company's current ratio. Current assets 306,450 Plant assets 388,000 Current Liabilities 107,800 Net sales 676,000 Net Income 75,000

A good financial statement analysis report usually includes the following six sections: (1) ________, (2) ________, (3) ________, (4) ________ (5) ________, and (6) ________.

A good financial statement analysis report often includes the following sections: executive summary, analysis overview, evidential matter, assumptions, key factors, and inferences.

The return on total assets ratio is a profitability measure.

Desjardin Landscaping's income statement reports net income of $75,300, which includes deductions for interest expense of $11,500 and income taxes of $34,900. Its times interest earned is:

A company's sales in Year 1 were $250,000 and in Year 2 were $287,500. Using Year 1 as the base year, the percent change for Year 2 compared to the base year is:

Use the following selected information from Wheeler, LLC to determine the 2017 and 2016 trend percentages for cost of goods sold using 2016 as the base. 2017 Net sales \ 276,200 \ 231,400 Cost of goods sold 151,900 129,590 Operating expenses 55,240 53,240 Net earnings 27,82 19,820

The building blocks of financial statement analysis do not include:

Managerial Accounting Concepts and Principles

Job Order Costing and Analysis

Process Costing and Analysis

Activity Based Costing and Analysis

Cost Behavior Cost-Volume-Profit Analysis

Variable Costing and Analysis

Master Budgets and Performance Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting Cash Flows

Time Value of Money

Analyzing for Business Transactions

Partnership Accounting

Filters

A good financial statement analysis report usually includes the following six sections: (1) , (2) , (3) , (4) (5) , and (6) .