Question

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$89,000	$65,000
Inventory	87,000	75,000
Net sales	480,000	379,000
Cost of goods sold	263,000	220,000
Total assets	845,000	785,000
Total stockholders' equity	505,000	430,000
Net income	77,000	53,000

Assuming all the sales are credit sales, what is TPX Company's 2015 receivables turnover? (Round your answer to 1 decimal place)

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$84,000	$74,000
Inventory	88,000	74,000
Net sales	410,000	381,000
Cost of goods sold	261,000	226,000
Total assets	810,000	775,000
Total stockholders' equity	470,000	440,000
Net income	76,000	56,000

TPX Company's 2015 inventory turnover is (Round your answer to 1 decimal place):

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$89,000	$80,000
Inventory	91,000	76,000
Net sales	480,000	381,000
Cost of goods sold	255,000	220,000
Total assets	840,000	770,000
Total stockholders' equity	520,000	415,000
Net income	71,000	51,000

TPX Company's 2015 debt to equity ratio is (Round your answer to 1 decimal place):

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$87,000	$75,000
Inventory	90,000	81,000
Net sales	470,000	385,000
Cost of goods sold	258,000	223,000
Total assets	845,000	780,000
Total stockholders' equity	480,000	445,000
Net income	73,000	52,000

TPX Company's 2015 gross profit ratio is (Round your answer to 1 decimal place):

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$88,000	$74,000
Inventory	88,000	77,000
Net sales	460,000	382,000
Cost of goods sold	257,000	221,000
Total assets	845,000	750,000
Total stockholders' equity	510,000	445,000
Net income	79,000	58,000

TPX Company's 2015 return on assets is (Round your answer to 1 decimal place):

Excerpts from TPX Company's December 31, 2015 and 2014, financial statements are presented below:

	2015	2014
Accounts receivable	$82,000	$82,000
Inventory	93,000	77,000
Net sales	430,000	377,000
Cost of goods sold	260,000	225,000
Total assets	815,000	770,000
Total stockholders' equity	505,000	440,000
Net income	75,000	53,000

TPX Company's 2015 profit margin is (Round your answer to 1 decimal place):

Recent financial statement data for Harmony Health Foods (HHF) Inc. is shown below.

Current liabilities	$186	Income before interest and taxes	$135
10% Bonds, long-term	365	Interest expense	48
Total liabilities	551	Income before tax	87
Shareholders' equity		Income tax	32
Capital stock	212	Net income	$ 55
Retained earnings	283
Total shareholders' equity	495
Total liabilities and equity	$1,046

HHF's times interest earned ratio is (Round your answer to 2 decimal places):

Answer 1

Answer:
1	TPX company's 2015 receivable turnover ratio would be :
	Receivable turnover ratio:	=Net Sales/Average accounts receivable
		=480,000/((89,000+65,000)/2)
		6.2
2	TPX company's 2015 inventory turnover ratio would be :
	Inventory turnover	=Cost of goods sold/Average inventory turnover
		=$261,000/((88,000+74,000)/2)
		3.2
3	TPX compny's 2015 debt equity ratio
	Debt equito ratio	=Total debt/Total stockholder's equity
		=$320,000/520,000
		61.5%
	where, total debt	=Total asset-Total stockholder's equity
		=$840,000-520,000
		320000
4	TPX's company's 2015 gross profit ratio
	Gross profit margin	=Gross profit/Net sales
		=212,000/470,000
		45.1%
	where, gross profit	=Net Sales-Cost of goods sold
		=470,000-258,000
		212000
5	TPX company's 2015 return on assets
	Return on asset	=Net income/Total asset
		=79,000/460,000
		17.2%
6	TPX company's 2015 profit margin
	Profit margin ratio	=Net income/Net Sales
		=75,000/430,000
		17.4%
7	TPX company's interest earned ratio would be:
	Interest earned Ratio	=Profit before interest and taxes/Interest expenses
		=$135/48
		2.8