Question

recent financial statements for Smolira Golf Corp. follow.

  

SMOLIRA GOLF CORP. 2017 and 2018 Balance Sheets
Assets									Liabilities and Owners’ Equity
	2017				2018					2017				2018
Current assets									Current liabilities
Cash	$	24,236			$	26,000			Accounts payable	$	25,084			$	29,000
Accounts receivable		14,348				17,100			Notes payable		19,000				12,700
Inventory		27,892				29,000			Other		13,471				18,300
Total	$	66,476			$	72,100			Total	$	57,555			$	60,000
									Long-term debt	$	88,000			$	87,698
									Owners’ equity
									Common stock and paid-in surplus	$	45,000			$	45,000
									Accumulated retained earnings		219,616				244,302
Fixed assets
Net plant and equipment	$	343,695			$	364,900			Total	$	264,616			$	289,302
Total assets	$	410,171			$	437,000			Total liabilities and owners’ equity	$	410,171			$	437,000

SMOLIRA GOLF CORP. 2018 Income Statement
Sales					$	392,640
Cost of goods sold						257,000
Depreciation						48,800
Earnings before interest and taxes					$	86,840
Interest paid						16,200
Taxable income					$	70,640
Taxes (24%)						16,954
Net income					$	53,686
Dividends	$	29,000
Retained earnings		24,686

   

Find the following financial ratios for Smolira Golf Corp. (use year-end figures rather than average values where appropriate): (Enter your profitability ratio answers as a percent rounded to 2 decimal places, e.g., 32.16. Round the remaining answers to 2 decimal places, e.g., 32.16.)

  

  

  

	Short-term solvency ratios: 2017 2018 a. Current ratio times times b. Quick ratio times times c. Cash ratio times times

  

	Long-term solvency ratios: 2017 2018 g. Total debt ratio times times h. Debt-equity ratio times times i. Equity multiplier times times

  

	Asset utilization ratios: d. Total asset turnover times e. Inventory turnover times f. Receivables turnover times

  

  

  

  

Answer 1