Written Assignment #2

# Written Assignment #2 - \$2,440,000 Total liabilities and...

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Dustin Taylor FIN-301 June 2011 Term Written Assignment #2 Problem #3 Accts. receivable before allowance for doubtful accounts - \$1,320,000 + \$20,000 = \$1,340,000 Total current assets - \$250,000 + \$1,320,000 + \$1,410,000 = \$2,980,000 Land - \$5,390,000 - \$2,980,000 - \$2,110,000 = \$300,000 Accum. Depreciation - \$2,800,000 - \$2,110,000 = \$690,000 Accrued wages - \$1,250,000 - \$620,000 - \$130,000 - \$100,000 = \$400,000 Long-term debt - \$1,000,000 Common stock - \$1.00 x 700,000 = \$700,000 Retained earnings - \$3,140,000 - \$700,000 =
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Unformatted text preview: \$2,440,000 Total liabilities and equity - \$1,250,000 + \$1,000,000 + \$1,000,000 + \$3,140,000 = \$6,390,000 Problem #8 Current ratio = current assets / current liabilities (\$100,000 + \$357,000 + \$458,000) / \$498,000 = 1.84 Quick ratio = (current assets – inventory) / current liabilities (\$100,000 + \$357,000 + \$458,000) - \$458,000 / \$498,000 = .92 Problem #9 365 / 45 = 8.111 \$25,689,000 / 8.111 = \$3,167,137 Problem #11 \$500,000 / 4 = \$125,000 \$200,000 - \$125,000 = \$75,000 reduction in inventory...
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## This note was uploaded on 07/13/2011 for the course FIN 301 taught by Professor Crisonino during the Spring '11 term at Edison State College.

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