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Complete the following balance sheet using this information:

Cash Accounts payable 100,000


Accounts receivable Long-term debt
Inventory& Total liabilities
Current assets Common equity
Net fixed assets 1,000,000 Total 1,300,000
Total $1,300,000
Current ratio = 3.0 Total asset turnover = .5
Inventory turnover = 10.0 Average collection period = 45 days
Debt ratio = 30% Gross profit margin = 30%
Solution

Cash 174,363
Account receivable 80,137
Inventory 45,500
Current assets 300,000
Net fixed assets 1,000,000
Total 1,300,000
Account payable 100,000
Long-term debt 290,000
Total liabilities 390,000
Common equity 910,000
Total 1,300,000

Current ratio 3
Inventory turnover 10
Debt ratio 30%
Total asset turnover 0.5
Average collection period 45
Gross profit margin 30%
Sales 650,000
COGS 455,000
Accounts receivable turnover 8.1
Complete the following balance sheet using the following information provided:

Cash Accounts payable 100,000


Accounts receivable Long-term debt
Inventory Total liabilities
Current assets Common equity
Net fixed assets 1,500,000 Total $2,100,000
Total $2,100,000

Current ratio = 6.0 Total asset turnover = 1.0


Inventory turnover = 8.0 Average collection period = 30 days
Debt ratio = 20% Gross profit margin = 15%
Solution

Cash 204,272
Account receivable 172,603
Inventory 223,125
Current assets 600,000
Net fixed assets 1,500,000
Total 2,100,000

Accounts payable 100,000


Long-term debt 320,000
Total liabilities 420,000
Common equity 1,680,000
Total 2,100,000

Current ratio 6
Inventory turnover 8
Debt ratio 20%
Sales 2,100,000
COGS 1,785,000
A / R Turnover 12.17
Total asset turnover 1
Average collection
period 30
Gross profit margin 15%