Question
In: Finance
1 Building a Balance Sheet KCCO, Inc. has current assets of $5,300, net fixed assets of $23,900,...
1 Building a Balance Sheet KCCO, Inc. has current assets of $5,300, net fixed assets of $23,900, current liabilities of $4,100, and long-term debt of $10,600. What is the value of shareholder’s equity for this firm? How much is net working capital?
Solutions
Expert Solution
| a. | Shareholders Equity | = | Total assets | - | Total Liabilities | |
| = | $ 29,200 | - | $ 14,700 | |||
| = | $ 14,500 | |||||
| Where, | ||||||
| # 1: Calculation of total assets | ||||||
| Current Assets | $ 5,300 | |||||
| Net Fixed Assets | $ 23,900 | |||||
| Total assets | $ 29,200 | |||||
| # 2: Calculation of total liabilities | ||||||
| Current Liabilities | $ 4,100 | |||||
| Long-term debt | $ 10,600 | |||||
| Total Liabilities | $ 14,700 | |||||
| b. | Net Working Capital | = | Current assets | - | Current Liabilities | |
| = | $ 5,300 | - | $ 4,100 | |||
| = | $ 1,200 |
jeff jeffy answered 2 years agoRelated Solutions
Bing, Incorporated, has current assets of $4,750, net fixed assets of $23,900, current liabilities of $3,000, and long-term debt of $13,400.
Bing, Incorporated, has current assets of $4,750, net fixed assets of $23,900, current liabilities of $3,000, and long-term debt of $13,400.a. What is the value of the shareholders' equity account for this firm? (Do not round intermediate calculations.)b. How much is net working capital? (Do not round intermediate calculations.)a. Shareholders' equity _____b. NWC ______
Bing, Incorporated, has current assets of $4,750, net fixed assets of $23,900, current liabilities of $3,000, and long-term debt of $13,400.
Bing, Incorporated, has current assets of $4,750, net fixed assets of $23,900, current liabilities of $3,000, and long-term debt of $13,400.a. What is the value of the shareholders' equity account for this firm? (Do not round intermediate calculations.)b. How much is net working capital? (Do not round intermediate calculations.)a. Shareholders' equity _____b. NWC ______
The balance sheet of MT Co. shows current assets of $14,000, net fixed assets of $21,800,...
The balance sheet of MT Co. shows current assets of $14,000, net
fixed assets of $21,800, current liabilities of $4,300, long-term
debt of $2,600, and equity of $28,900. The balance sheet of LF Inc.
has current assets of $4,700, net fixed assets of $8,100, current
liabilities of $2,200, long-term debt of $1,200, and equity of
$9,400. The market value of LF's fixed assets is $14,100. MT
purchases LF for $20,000 and raises the funds through an issue of
long-term debt....
Muffin’s Masonry, Inc.’s, balance sheet lists net fixed assets as $33.00 million. The fixed assets could...
Muffin’s Masonry, Inc.’s, balance sheet lists net fixed assets
as $33.00 million. The fixed assets could currently be sold for
$57.00 million. Muffin’s current balance sheet shows current
liabilities of $15.00 million and net working capital of $14.00
million. If all the current accounts were liquidated today, the
company would receive $8.20 million cash after paying the $15.00
million in current liabilities.
What is the book value of Muffin’s Masonry’s assets today and
the market value of these assets?...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet: Current
assets $1,875,000 Accounts payable $375,000 Fixed assets 1,875,000
Notes payable 750,000 Subordinated debentures 750,000 Total debt
$1,875,000 Common equity 1,875,000 Total assets $3,750,000 Total
liabilities and equity $3,750,000 The trustee's costs total
$238,250, and the firm has no accrued taxes or wages. Southwestern
has no unfunded pension liabilities. The debentures are
subordinated only to the notes payable. If the firm goes bankrupt
and liquidates, how much will each class of investors...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet:
Current assets
$1,875,000
Accounts payable
$375,000
Fixed assets
1,875,000
Notes payable
750,000
Subordinated debentures
750,000
Total debt
$1,875,000
Common equity
1,875,000
Total assets
$3,750,000
Total liabilities and equity
$3,750,000
The trustee's costs total $263,750, and the firm has no accrued
taxes or wages. Southwestern has no unfunded pension liabilities.
The debentures are subordinated only to the notes payable. If the
firm goes bankrupt and liquidates, how much will each class of
investors...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet:
Current assets
$1,875,000
Accounts payable
$375,000
Fixed assets
1,875,000
Notes payable
750,000
Subordinated debentures
750,000
Total debt
$1,875,000
Common
equity 1,875,000
Total assets
$3,750,000
Total liabilities and equity
$3,750,000
The trustee's costs total $323,750, and the firm has no accrued
taxes or wages. Southwestern has no unfunded pension liabilities.
The debentures are subordinated only to the notes payable. If the
firm goes bankrupt and liquidates, how much will each class of
investors receive...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet:
Current assets
$1,875,000
Accounts payable
$375,000
Fixed assets
1,875,000
Notes payable
750,000
Subordinated debentures
750,000
Total debt
$1,875,000
Common equity
1,875,000
Total assets
$3,750,000
Total liabilities and equity
$3,750,000
The trustee's costs total $248,500, and the firm has no accrued
taxes or wages. Southwestern has no unfunded pension liabilities.
The debentures are subordinated only to the notes payable. If the
firm goes bankrupt and liquidates, how much will each class of
investors...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet:
Current assets
$1,875,000
Accounts payable
$375,000
Fixed assets
1,875,000
Notes payable
750,000
Subordinated debentures
750,000
Total debt
$1,875,000
Common equity
1,875,000
Total assets
$3,750,000
Total liabilities and equity
$3,750,000
The trustee's costs total $228,000, and the firm has no accrued
taxes or wages. Southwestern has no unfunded pension liabilities.
The debentures are subordinated only to the notes payable. If the
firm goes bankrupt and liquidates, how much will each class of
investors...
Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets...
Southwestern Wear Inc. has the following balance sheet:
Current assets
$1,875,000
Accounts payable
$375,000
Fixed assets
1,875,000
Notes payable
750,000
Subordinated debentures
750,000
Total debt
$1,875,000
Common equity
1,875,000
Total assets
$3,750,000
Total liabilities and equity
$3,750,000
The trustee's costs total $323,500, and the firm has no accrued
taxes or wages. Southwestern has no unfunded pension liabilities.
The debentures are subordinated only to the notes payable. If the
firm goes bankrupt and liquidates, how much will each class of
investors...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- Why should a time-based authentication system invalidate the current password on a successful authentication?
- Explain the difference between a market penetration strategy and a market development strategy.
- QUESTION 4 Discuss the sanctity of life versus the quality of life debate as presented by...
- 0.560 g He, 20.482 g F2, and 13.960 g Ar are placed in a 18.4-L container...
- Let X ∼ Pois(4), Y ∼ Pois(12), U ∼ Pois(3) be independent random variables. a) What...
- which one is more nucleophilic: hydroxide ion (OH) , or ammonia (NH3)? Explain why
- A sample mixture of ethyl benzoate (bp 212 C) and dodecane (bp 216.2 C) is injected...
ADVERTISEMENT