### Calculate the ratios for 2008

Assignment Help Financial Accounting
##### Reference no: EM1310218

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.

#### Questions Cloud

 What is the new angular speed : A 2.20 sound wave travels through a pregnant woman's abdomen and is reflected from the fetal heart wall of her unborn baby. The heart wall is moving toward sound receiver as heart beats. The reflected sound is after that mixed with the transmitted so.. Purpose a schedule showing a vertical analysis for 2009 : Operating data for Gallup Corporation are presented -  Purpose a schedule showing a vertical analysis for 2009 and 2008. Computing black-scholes price : Stock pays no dividends, and stock's annual volatility is 40%, then the Black-Scholes price for this option (rounded to the nearest cent) is? Find out the position (in m) at time t = 5.67 s : A jetliner is moving at a speed of 216 m/s. The vertical component of the plane's velocity is 79.70 m/s. establishes the magnitude of the horizontal component of the plane's velocity. Calculate the ratios for 2008 : Scully Corporation's comparative balance sheets are presented - calculate the following ratios for 2008. Stacks of inventory : As Jonah wades through huge piles of the inventory and questions the team on operations, he quickly identifies the problem. Which of the implemented methods above does Jonah contribute to stacks of inventory? What is the grocery cart''s final speed in joules : Water flows through a pipe with circular cross section. The fluid has a radius of 5.0 cm and flows at 2.0m/s. The output has a radius of 2.50 cm. find the output velocity. Procurement of the construction product in united kingdom : Procurement systems have changed enormously, due to changes in concept on risk apportionment, economic costs & in the UNITED KINGDOM due to Government led reports & initiatives e.g. Egan report & PFI initiative. However surprisingly; efficiency has n.. Identify and strengths and/or weakness in analysis : Identify and strengths and/or weakness you identified in your analysis. and Any recommendations you feel are warranted at this time.

### Write a Review

#### Financial statement analysis and preparation

Financial Statement Analysis and Preparation

#### Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

#### Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

#### Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

#### Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

#### Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

#### Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

#### Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

#### Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

#### Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

#### Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

#### Computation of free cash flow

Computation of Free Cash Flow