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tpsavage9755
tpsavage9755
12.12.2019 • 
Business

Selected year-end financial statements of cabot corporation follow. (all sales were on credit; selected balance sheet amounts at december 31, 2016, were inventory, $48,900; total assets, $249,400; common stock, $81,000; and retained earnings, $36,676.) cabot corporation income statement for year ended december 31, 2017 sales $ 456,600 cost of goods sold 297,650 gross profit 158,950 operating expenses 99,100 interest expense 4,800 income before taxes 55,050 income taxes 22,176 net income $ 32,874 cabot corporation balance sheet december 31, 2017 assets liabilities and equity cash $ 14,000 accounts payable $ 18,500 short-term investments 9,000 accrued wages payable 4,600 accounts receivable, net 29,800 income taxes payable 2,800 notes receivable (trade)* 4,500 merchandise inventory 36,150 long-term note payable, secured by mortgage on plant assets 68,400 prepaid expenses 3,100 common stock 81,000 plant assets, net 148,300 retained earnings 69,550 total assets $ 244,850 total liabilities and equity $ 244,850 * these are short-term notes receivable arising from customer (trade) sales. required: compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total a

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