ACC 560 Week 10 Homework Chapter 14 (E14-4, E14-7, E14-11)\t\u00a0Chapter 14: Financial Statement Analysis\u00a0\tACC 560 Week 10 Chapter 14 Exercises 4, 7, and 11\tE14-4\tThe comparative condensed income statements of Emley Corporation are shown below.\tEMLEY CORPORATION\tComparative Condensed Income Statements\tFor the Years Ended December 31\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd 2017 \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0 2016\tNet sales \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd $660,000 \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $600,000\tCost of goods sold \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd “\ufffd483,000 \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 “\ufffd420,000\tGross profit \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \u00a0\u00a0177,000 \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 \u00a0\u00a0180,000\tOperating expenses \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 “\ufffd125,000 \ufffd \ufffd \ufffd \ufffd “\ufffd120,000\tNet income \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0 $”\ufffd52,000 \ufffd \ufffd \ufffd \ufffd $”\ufffd60,000\t\u00a0\tInstructions\ta. \ufffd\u00a0 Prepare a horizontal analysis of the income statement data for Emley Corporation using 2016 as a base. (Show the amounts of increase or decrease.\tb. \ufffd Prepare a vertical analysis of the income statement data for Emley Corporation in columnar form for both years.\t\u00a0\tE14-7\t\u00a0Frizell Company has the following comparative balance sheet data.\t\u00a0\tFRIZELL COMPANY\tBalance Sheets\tDecember 31\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 2017 \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 2016\tCash \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $”\ufffd15,000 \ufffd\u00a0\u00a0 $”\ufffd30,000\tAccounts receivable (net) \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a070,000 \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a060,000\tInventory \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a060,000 \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a050,000\tPlant assets (net) \ufffd\u00a0\u00a0\u00a0 “\ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \u00a0 200,000 \ufffd\u00a0\u00a0\u00a0 “\ufffd180,000\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 $345,000 \ufffd\u00a0\u00a0\u00a0 $320,000\t\u00a0\tAccounts payable \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $”\ufffd50,000 \ufffd\u00a0\u00a0 $”\ufffd60,000\tMortgage payable (6%) \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 \u00a0\u00a0100,000 \ufffd\u00a0\u00a0 \u00a0\u00a0100,000\tCommon stock, $10 par \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 \u00a0\u00a0140,000 \ufffd\u00a0\u00a0 \u00a0\u00a0120,000\tRetained earnings \ufffd\u00a0 “\ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \u00a0\u00a0\u00a0 55,000 \ufffd\u00a0\u00a0\u00a0 “\ufffd”\ufffd40,000\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 $345,000 \ufffd\u00a0\u00a0\u00a0 $320,000\t\u00a0\tInstructions\tCompute the following ratios at December 31, 2017.\ta. Current ratio.\tb. Acid-test ratio.\tc. Accounts receivable turnover.\td. Inventory turnover.\t\u00a0\tE14-11\tWiemers Corporation’s comparative balance sheets are presented on the next page.\t\u00a0\tWIEMERS CORPORATION\tBalance Sheets\tDecember 31\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 2017 \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 2016\tCash \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $”\ufffd”\ufffd4,300″\ufffd \ufffd $”\ufffd”\ufffd3,700″\ufffd\tAccounts receivable (net) \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a021,200″\ufffd \ufffd \ufffd23,400″\ufffd\tInventory \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a010,000″\ufffd \ufffd \ufffd\u00a0\u00a07,000″\ufffd\tLand \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a020,000″\ufffd \ufffd \ufffd26,000\tBuildings \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 \u00a0\u00a0\u00a0\u00a070,000″\ufffd \ufffd \ufffd70,000″\ufffd\tAccumulated depreciation”\ufffdbuildings \ufffd \ufffd\u00a0 “\ufffd \ufffd \ufffd \ufffd \ufffd\u00a0 (15,000) \ufffd \ufffd “\ufffd(10,000)\tTotal \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $110,500 \ufffd\u00a0\u00a0\u00a0 $120,100\t\u00a0\tAccounts payable \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $”\ufffd12,370″\ufffd \ufffd $”\ufffd31,100″\ufffd\tCommon stock \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0 \u00a0\u00a0\u00a0 75,000″\ufffd \ufffd \u00a0\u00a0\u00a0\u00a069,000″\ufffd\tRetained earnings \ufffd\u00a0 “\ufffd”\ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 \u00a0\u00a0\u00a0 23,130″\ufffd \ufffd “\ufffd”\ufffd20,000″\ufffd\tTotal \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 $110,500 \ufffd\u00a0\u00a0\u00a0 $120,100\t\u00a0\t\u00a0\tWiemers’s 2017 income statement included net sales of $100,000, cost of goods sold of $60,000, and net income of $15,000.\tInstructions\tCompute the following ratios for 2017.\ta. Current ratio.\tb. Acid-test ratio.\tc. Accounts receivable turnover.\td. Inventory turnover.\te. Profit margin.\tf. Asset turnover.\tg. Return on assets.\th. Return on common stockholders’ equity.\ti. Debt to assets ratio.<\/p>\n","protected":false},"excerpt":{"rendered":"
ACC 560 Week 10 Homework Chapter 14 (E14-4, E14-7, E14-11) \u00a0Chapter 14: Financial Statement Analysis\u00a0 ACC 560 Week 10 Chapter 14 Exercises 4, 7, and 11 E14-4 The comparative condensed income statements of Emley Corporation are shown below. EMLEY CORPORATION Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-200315","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200315","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=200315"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200315\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=200315"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=200315"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=200315"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}