Question

You must show the financial statement in all its parts including header, dollar signs and double line in the totals. Points will be subtracted from the exercises if these parts are not completed properly.

7-14 Complete the balance sheet and sales information in the table that follows for Isberg Industries using the following finanacial data:

Debt ratio: 50%

Quick ratio: 0.80x

Total assets turnover: 1.5x

Days sales outstanding: 36.0 days

Gross profit margin on sales: ( Sales - cost of goods sold) / Sales = 25%

inventory turnover ratio: 5.0x

Balance sheet:

Cash _______________ Accounts payable _____________

Accounts receivable _______________     Long - term debt $60,000

Fixed assets _______________ Common stock _____________

Total assets $ 300,000 Retained earnings $97,500

sales ______________ Total liabilities and equity _____________

Cost of goods sold _____________

Answer 1