Question

The Griggs Corporation has credit sales of $826,200.

Total assets turnover	2.70	times
Cash to total assets	1.80	%
Accounts receivable turnover	10	times
Inventory turnover	20	times
Current ratio	1.77	times
Debt to total assets	45	%

Using the above ratios, complete the balance sheet. (Round your answers to the nearest whole number.)

Cash    current debt

Accounts receivable                                                                long term debt

Inventory                                                                                 total debt

Total current assets                                                                 equity

fixed Assets                                                                            total debt and stockholders equity

Total Assets

Answer 1

Answer:

Total Assets Turnover = Sales / Total Assets
2.70 = $826,200 / Total Assets
Total Assets = $306,000

Cash to Total Assets = Cash / Total Assets
1.80 = Cash / $306,000 * 100
Cash = $5,508

Accounts Receivable Turnover = Sales / Accounts Receivable
10 = $826,200 / Accounts Receivable
Accounts Receivable = $82,620

Inventory Turnover = Sales / Inventory
20 = $826,200 / Inventory
Inventory = $41,310

Total Current Assets = Cash + Accounts Receivable + Inventory
Total Current Assets = $5,508 + $82,620 + $41,310
Total Current Assets = $129,438

Total Assets = Current Assets + Fixed Assets
$306,000 = $129,438 + Fixed Assets
Fixed Assets = $176,562

Current Ratio = Current Assets / Current Debt
1.77 = $129,438 / Current Debt
Current Debt = $73,129

Debt to Total Assets = Total Debt / Total Assets * 100
45 = Total Debt / $306,000 * 100
Total Debt = $137,700

Total Debt = Current Debt + Long Term Debt
$137,700 = $73,129 + Long Term Debt
Long Term Debt = $64,571

Total Assets = Total Debt + Equity
$306,000 = $137,700 + Equity
Equity = $168,300