Question

$1,000,000 3 Requested loan amount HEDRICK COMPANY Comparative Balance Sheet This Year Last Year 9 Assets 10 Current assets:
30 Total liabilities and stockholders equity 31 $5700,000 $4960,000 HEDRICK COMPANY Comparative Income Statement and Reconci
OMPA Rates of Return NY HEDRICK C 1a. This Year Last Year Net income Add after-tax cost of interest Total Average total asset
3 HEDRICK COMPANY Ratios Last Year This Year Current assets Current liabilities Working capital Try again Iry again Current a
$1,000,000 3 Requested loan amount HEDRICK COMPANY Comparative Balance Sheet This Year Last Year 9 Assets 10 Current assets: 11 Cash 12 Marketable securities 13 Accounts receivable, net 14 Inventory 15 Prepaid expenses $320,000 $420,000 100,000 600,000 1,300,000 800,000 60,000 2,600,0001,980,000 3,100,000 2,980,000 5700,000 4960,000 80,000 16 Total current assets 17 Plant and equipment, net 18 Total assets 19 20 Liabilities and Stockholders' Equity 21 Liabilities: 22 Current liabilities 23į Bonds payable, 10% 24 Total liabilities 25 Stockholders' equity 26 Preferred stock, 8%, $30 par Yalue 27 Common stock, $40 par value 28 Retained earnings 29 Total stockholders' equity 30 Total liabilities and stockholders' equity 5700000 $ 1,300,000 920,000 1,200,000 1000,000 2,500,0001,920,000 600,000 2,000,000 2,000,000 440,000 3,200,000 3,040,000 $4960000 600,000 600,000
30 Total liabilities and stockholders' equity 31 $5700,000 $4960,000 HEDRICK COMPANY Comparative Income Statement and Reconciliation 32 34 35 36 Sales (all on account) 37 Cost of goods sold 38 Gross margin 39 Selling and administrative expenses 40 Net operating income 41 Interest expense 42 Net income before taxes 43 Income taxes (30%) 44 Net income 45 Dividends paid 46 Preferred stock 47 Common stock 48 Total dividends paid 49 Net income retained 50 Retained earnings, beginning of year 51 Retained earnings, end of year 52 53 Tax rate 54 Percentage increase in sales 55 Common stock price, last year 56 Common stock price, this year This Year Last Year s 5,250,000 $ 4,160,000 4,200,000 3,300,000 1,050,000 860,000 520,000 520,000 340,000 100000 400,000240,000 72,000 168,000 530,000 120000 120,000 280,000 48,000 48,000 36,000 84,000 84,000 160,000 S 600,000 S 440.000 30% 25% 20 36 58 Typical ratios: 59 Current ratio 60 Acid-test ratio 61 Average collection period 62 Average sale period 63 Return on assets 64 Debt-to-equity ratio 65 Times interest earned 66 Price-earnings ratio 67 68 Total assets beginning last year 69 Stockholders' equity beginning last year 3,016,000 70 Accounts receivable, beginning of last year $ 520,000 71 Inventory, beginning of last year 72 2.3 1.2 31 days 60 days 9.5% 0.65 5.7 10 S 4,320,000 S 640,000
OMPA Rates of Return NY HEDRICK C 1a. This Year Last Year Net income Add after-tax cost of interest Total Average total assets Return on total assets #ON//O! 1b. Net income Less preferred dividends Net income remaining for common Iry again!Try again Average total stockholders equity Less average preferred stoc Average common equity Return on common stockholders equity DIVIO HEDRICK COMPA Stockholders Well Being 2a. Net income remaining for common Awg number of common shares outstand50,000 Earnings per share 50,000 Try again! Ty ag 2b. Dividends per share Market price per share Dividend yield ratio #DIV/0! #DIVO Dividends per share Earnings per share Dividend payout ratio #DIV/O! #DIVIO! #DIV/0! 2d. Market price per share Earnings per share Price-earnings ratio #DIV #DIVIO! DIV/0! #DIVIO! 2e Stockholders' equity Less preferred stock Common stockholders' equity Number of common shares outst Book value per share 2f. Gross margin Sales Gross margin percentage #DIV/0! "DIVO
3 HEDRICK COMPANY Ratios Last Year This Year Current assets Current liabilities Working capital Try again Iry again Current assets Current liabilities Current ratio #DIV/0! #DIV/0! #DIVIO! #DIV/0! Quick assets Current liabilities Acid-test ratio #DIVO! #DIV/0! #DIV/0! Sales on account Average receivables Accounts receivable turnover # DIV/0! #DIV/0! # DIV/0! #DIV/0! 11 DIVIO! days days Average collection period Cost of goods sold Average inventory balance nventory turnover ratio Average sales period #DIV/0! #DIV/0! #DIVO! #DIVO #DIV/0! days days Total liabilities Stockholders' equity Debt-to-equity ratio #DIV/0! #DIVO! #DIV/0 Net income before interest and income ta: Interest expense Times interest earned #DIVO!
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Solution 1a: HEDRECK Company Rates of Return Particulars This Year Last Year Net Income Add after - tax cost of interest Tota

Solution 2c: Particulars This Year Last Year Dividends Per Share (A) Earning Per Share (B) Dividend Payout Ratio (A/B) 0.720

Solution 3: Particulars This Year Last Year Current Assets (A) Current Liabilities (B) Working Capital (A-B) 26,00,000 13,00,

Add a comment
Know the answer?
Add Answer to:
$1,000,000 3 Requested loan amount HEDRICK COMPANY Comparative Balance Sheet This Year Last Year 9 Assets 10 Current assets: 11 Cash 12 Marketable securities 13 Accounts receivable, net 14 Inv...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $...

    Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $ 1,200,000 Marketable securities 0 300,000 Accounts receivable, net 2,700,000 1,800,000 Inventory 3,600,000 2,000,000 Prepaid expenses 260,000 200,000 Total current assets 7,520,000 5,500,000 Plant and equipment, net 9,520,000 9,050,000 Total assets $ 17,040,000 $ 14,550,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 4,010,000 $ 2,980,000 Note payable, 10% 3,660,000 3,060,000 Total liabilities 7,670,000 6,040,000 Stockholders' equity: Common stock, $75 par value 7,500,000 7,500,000 Retained...

  • Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,00...

    Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $ 1,200,000 Marketable securities 0 300,000 Accounts receivable, net 2,700,000 1,800,000 Inventory 3,600,000 2,000,000 Prepaid expenses 260,000 200,000 Total current assets 7,520,000 5,500,000 Plant and equipment, net 9,520,000 9,050,000 Total assets $ 17,040,000 $ 14,550,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 4,010,000 $ 2,980,000 Note payable, 10% 3,660,000 3,060,000 Total liabilities 7,670,000 6,040,000 Stockholders' equity: Common stock, $75 par value 7,500,000 7,500,000 Retained...

  • Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 860,000 $...

    Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 860,000 $ 1,230,000 Marketable securities 0 300,000 Accounts receivable, net 2,820,000 1,920,000 Inventory 3,630,000 2,300,000 Prepaid expenses 260,000 200,000 Total current assets 7,570,000 5,950,000 Plant and equipment, net 9,580,000 9,080,000 Total assets $ 17,150,000 $ 15,030,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 4,550,000 $ 3,040,000 Note payable, 10% 3,680,000 3,080,000 Total liabilities 8,230,000 6,120,000 Stockholders' equity: Common stock, $70 par value 7,000,000 7,000,000 Retained...

  • Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $...

    Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 960,000 $ 1,200,000 Marketable securities 0 300,000 Accounts receivable, net 2,700,000 1,800,000 Inventory 3,600,000 2,000,000 Prepaid expenses 260,000 200,000 Total current assets 7,520,000 5,500,000 Plant and equipment, net 9,520,000 9,050,000 Total assets $ 17,040,000 $ 14,550,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 4,010,000 $ 2,980,000 Note payable, 10% 3,660,000 3,060,000 Total liabilities 7,670,000 6,040,000 Stockholders' equity: Common stock, $75 par value 7,500,000 7,500,000 Retained...

  • 14-15 p3 Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $...

    14-15 p3 Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash $ 980,000 $ 1,220,000 Marketable securities 0 300,000 Accounts receivable, net 2,780,000 1,880,000 Inventory 3,620,000 2,200,000 Prepaid expenses 260,000 200,000 Total current assets 7,640,000 5,800,000 Plant and equipment, net 9,560,000 9,070,000 Total assets $ 17,200,000 $ 14,870,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 4,030,000 $ 3,020,000 Note payable, 10% 3,680,000 3,080,000 Total liabilities 7,710,000 6,100,000 Stockholders' equity: Common stock, $75 par value 7,500,000...

  • Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated depreciation Total assets...

    Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Current notes payable Mortgage payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 15,150 8,260 13,400 11,500 171,500 (12, eee) $207,810 $ 8,720 3,400 4,200 21,180 114, 30e 56,010 $207,810 A OCA-FARM Required Compute each of the following: (Round your per share a. Current ratio b. Earnings per share o. Quick (acid-test) ratio d....

  • pter 14 Homework Assignments - Save Last Year 2 of 3 Comparative Balance sheet This Year...

    pter 14 Homework Assignments - Save Last Year 2 of 3 Comparative Balance sheet This Year Assets Current assets: $ 870,000 Marketable securities Accounts receivable, net 2,340,000 Inventory 3,510,000 Prepaid expenses 240,000 Total current assets 6,960,000 Plant and equipment, net 9,340,000 Total assets $ 16,300,000 Liabilities and Stockholders Equity Liabilities: Current liabilities $ 3,920,000 Note payable, 108 3,600,000 Total liabilities 7.520.000 Stockholders' equity: Common stock, $70 par value 7,000,000 Retained earnings 1,780,000 Total stockholders' equity 8,780,000 Total liabilities and stockholders'...

  • Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash 21,000 Accounts receivable, net 210,000...

    Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash 21,000 Accounts receivable, net 210,000 Merchandise inventory 320,000 Prepaid expenses 10,000 Total current assets 561,000 Property and equipment, net 870,000 Total assets $1,431,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 260,000 Bonds payable, 11% 390,000 Total liabilities 650,000 Stockholders' equity: Common stock, $5 par value $ 150,000 Retained earnings 631,000 Total stockholders' equity 781,000 Total liabilities and $1,431,000 stockholders' equity Castile Products, Inc. Income Statement For the Year...

  • Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash Accounts receivable, net Merchandise inventory...

    Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash Accounts receivable, net Merchandise inventory Prepaid expenses Total current assets Property and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Bonds payable, 10% Total liabilities Stockholders' equity: Common stock, $5 per value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 6,500 35,000 70,000 3,500 115,000 185,000 $300,000 $ 50,000 80,000 130,000 30,000 140,000 170,000 $300,000 Castile Products, Inc. Income Statement For the Year...

  • Following is the balance sheet of Solomon Company for 2018: SOLOMON COMPANY Balance sheet Assets Cash Marketable securi...

    Following is the balance sheet of Solomon Company for 2018: SOLOMON COMPANY Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Current notes payable Mortgage payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 14,750 7,620 13,160 10,750 165,500 (13,000) $198, 780 $ 8,390 3,240 4,200 21,300 113,300 48,350 $198,780 The average number of common stock shares outstanding during 2018 was 880 shares....

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT