Using the following balance sheet and income statement data what is the

Using the following balance sheet and income

This preview shows page 27 - 31 out of 63 pages.

89.Using the following balance sheet and income statement data, what is theearnings per share?Current assets$ 32,000Net income$ 42,000Current liabilities16,000Stockholders’ equity78,000Average assets160,000Total liabilities42,000Total assets120,000Average common shares outstanding was 15,000. a.$5.20b.$8.00c.$2.80d.$0.36Ans: C, LO: 2, Bloom: AP, Difficulty: Medium, Min: 3, AACSB: Analytic, AICPA BB: Legal/Regulatory Perspective, AICPA FC: Reporting, AICPA PC:Problem Solving, IMA: ReportingSolution: $42,000 15,000 =$2.80(Net + inc. ÷ Ave. sh. out.) FOR INSTRUCTOR USE ONLY
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2-28 Test Bank for Survey of Accounting , First Edition 90.Using the following balance sheet and income statement data, what is the debt toassets ratio?Current assets$ 32,000Net income$ 42,000Current liabilities16,000Stockholders’ equity78,000Average assets160,000Total liabilities42,000Total assets120,000Average common shares outstanding was 15,000. 91.Using the following balance sheet and income statement data, what is the totalamount of working capital?Current assets$ 21,000Net income$ 45,000Current liabilities12,000Stockholders’ equity63,000Average assets132,000Total liabilities27,000Total assets90,000Average common shares outstanding was 15,000. FOR INSTRUCTOR USE ONLY
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2-29 A Further Look at Financial Statements 92.Using the following balance sheet and income statement data, what is the currentratio?Current assets$ 21,000Net income$ 45,000Current liabilities12,000Total liabilities27,000Total assets90,000Average common shares outstanding was 15,000. FOR INSTRUCTOR USE ONLY
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2-30 Test Bank for Survey of Accounting , First Edition 93.Using the following balance sheet and income statement data, what is theearnings per share?Current assets$ 21,000Net income$ 45,000Current liabilities12,000Stockholders’ equity63,000Average assets132,000Total liabilities27,000Total assets90,000Average common shares outstanding was 15,000. a.$3.00b.$4.20c.$0.33d.$0.50Ans: A, LO: 2, Bloom: AP, Difficulty: Medium, Min: 3, AACSB: None, AICPA BB: Legal/Regulatory Perspective, AICPA FC: Reporting, AICPA PC: ProblemSolving, IMA: ReportingSolution: $45,000 $15,000 =$3.00(Net inc ÷ Ave. sh. out).
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  • Fall '20
  • Erin egeland
  • Balance Sheet, Generally Accepted Accounting Principles

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