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USPshnik [31]
3 years ago
15

Just Dew It Corporation reports the following balance sheet information for 2017 and 2018.

Business
1 answer:
Leokris [45]3 years ago
6 0

Answer:

Just Dew It Corporation

2017 Ratios:

A 1. Debt-equity ratio = Total debt/Equity = 72%

A 2. Equity multiplier  = 58%

B. Total debt ratio = 42%

Long-term debt ratio = 14%

2. 2018 Ratios:

A. Current ratio = 96%

B. Quick ratio = 36%

C. Cash ratio = 9.5%

D. NWC to total assets ratio = -0.89%

E. Debt-equity ratio and equity multiplier:

Debt-equity ratio = 63%

Equity Multiplier = 61%

F. Total debt ratio and long-term debt ratio:

Total debt ratio = 38.5%

Long-term debt ratio = 14%

Explanation:

a) Data and Calculations:

JUST DEW IT CORPORATION

2017 and 2018 Balance Sheets

Assets Liabilities and Owners' Equity

2017 2018  

Current assets               2017         2018

Cash                             $10,150     $10,300

Accounts receivable     27,700       28,950

Inventory                      62,300       64,800

Total current assets $100,150   $104,050

Fixed assets

Net plant and

equipment            $325,000  $342,000  

Total assets            $425,150  $446,050

Current liabilities        2017         2018

Accounts payable   $70,250     $61,250

Notes payable           47,250       46,750

Total                       $117,500    $108,000

Long-term debt     $59,900     $63,900

Total liabilities      $177,400     $171,900

Owners' equity

Common stock and  

paid-in surplus     $89,000    $89,000

Retained earnings 158,750      185,150

Total                    $247,750   $274,150

Total liabilities and

owners' equity   $425,150  $446,050

2017 Ratios:

Debt-equity ratio = Total debt/Equity =  $177,400/$247,750 = 0.72 or 72%

Equity multiplier = Equity/Assets = $247,750/$425,150 = 58%

B. Total debt ratio = $177,400/$425,150 = 42%

Long-term debt ratio = $59,900/$425,150 = 14%

2. 2018 Ratios:

A. Current ratio = Current assets/current liabilities

= $104,050/$108,000 = 96%

B. Quick ratio = $(104,050-64,800)/$108,000 = 36%

C. Cash ratio = $10,300/$108,000 = 9.5%

D. NWC to total assets ratio = ($104,050-$108,000)/$446,050 = -0.89%

E. Debt-equity ratio and equity multiplier:

Debt-equity ratio = $171,900/$274,150 = 63%

Equity Multiplier = $274,150/$446,050 = 61%

F. Total debt ratio and long-term debt ratio:

Total debt ratio = $171,900/$446,050 = 38.5%

Long-term debt ratio = $63,900/$446,050 = 14%

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The following transactions relate to the General Fund of the City of Buffalo Falls for the year ended December 31, 2020: Beginni
melamori03 [73]

Answer:

City of Buffalo Falls

a. Journal Entries:

Beginning balances:

Jan.1, 2020 :

Description                 Debit                Credit

Cash                        $93,000

Taxes Receivable  $189,500

Accounts Payable                              $52,250

Fund Balance                                   $230,250

To record opening balances of the General Fund.

Transactions during the year:

Description                 Debit                Credit

Taxes Receivable      $1,230,000

Estimated Revenue                         $1,230,000

To record the estimated revenue for the year.

General Government  $1,227,400

Accounts Payable                            $1,227,400

To record the estimated appropriations for the year.

Property taxes receivable $915,000

Other revenue receivable $315,000

Estimated revenue                              $1,230,000

Cash Account                  $1,182,500

Property taxes receivable                     $885,000

Other revenue receivable                    $297,500

To record the cash receipts.

Contracts                                  $95,250

Accounts Payable                                      $95,250

To record contracts for services.

Debit General Government  $963,500

Credit Accounts Payable                        $963,500

To record the other expenditures.

Debit Accounts Payable      $1,092,500

Credit Cash Account                              $1,092,500

To record payment on account.

b. Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund:

Estimated Revenue   $1,230,000

less Expenditure:

Contracts                          95,250

Other expenditures       963,500

Change in fund             $171,250

Fund balance b/f           230,250

Fund balance c/f          $401,500

c. Balance Sheet for the General Fund:

Cash                              $183,000

Taxes Receivable           237,000

Total assets                 $420,000

Accounts Payable            $18,750

Fund balance                  401,500

Total liabilities + Fund $420,250

Explanation:

a) Cash Account:

Beginning balance            $93,000

Property taxes                   885,000

Other revenue                  297,500

less Accounts payable   1,092,500

Ending balance               $183,000

b) Taxes Receivable

Beginning balance           $189,500

Estimated Revenue        1,230,000

less Receipts:

Property taxes                  885,000

Other revenue                 297,500

Ending balance             $237,000

c) Accounts Payable

Beginning balance        $52,500

Other expenditure        963,500

Contracts                        95,250

Less payments           1,092,500

Ending balance              $18,750

4 0
3 years ago
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n200080 [17]

Answer:

1. Cash flow from operations: F (financial).

2. Number of reports of mishandled or lost baggage: C (customer).

3. Percentage of on-time departures: C (customer).

4. On-time flight percentage: C (customer).

5. Percentage of ground crew trained: I (innovation and growth).

6. Return on investment: F (financial).

7. Market value: F (financial).

8. Accidents or safety incidents per mile flown: P (internal process).

9. Customer complaints: C (customer).

10. Flight attendant training sessions attended: I (innovation and growth).

11. Time airplane is on ground between flights: P (internal process).

12. Airplane miles per gallon of fuel: P (internal process).

13. Revenue per seat: F (financial).

14.Cost of leasing airplanes: F (financial).

Explanation:

The performance measures associated with an airline (USA) business are;

1. Customer (C): this includes all the passengers or clients who have done business with the airline company in the past or in the future. It gives full details about everything pertaining to the clients or customers.

2. Financial (F): this is a measure of all the revenues and expenses associated with the successful running of the airline business.

3. Innovation and growth (I): this is a measure of the manpower or labor, equipments, welfare and training used to ensure the business continues to run smoothly, effectively and efficiently.

4. Internal process (P): it involves all of the strategic decisions, policies, rules and regulations formulated by the executive management in order to enhance the smooth operations of the airline business.

5 0
3 years ago
The consumption schedule shows a.that households consume more when interest rates are low. b.that consumption depends primarily
Lelechka [254]

Answer: The consumption schedule shows the amounts households intend to consume at various possible levels of aggregate income.

Explanation: Consumption function, in economics, the relationship between consumer spending and the various factors determining it. At the household or family level, these factors may include income, wealth, expectations about the level and riskiness of future income or wealth, interest rates, age, education, and family size.

A consumption schedule is a table of numbers showing the relation between consumption expenditures and income for the household sector. The income measure commonly used is national income or disposable income. Occasionally a measure of aggregate production, such as gross domestic product, is used instead.

3 0
3 years ago
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The exchange rate of the currency will reduce because the country the government is making more currency to be available and surplus, by increasing it's purchase. When they is excess currency in the world market, the currency reduces it value. In a world war, or local war, the exchange rate may not actually reduce because, it will be difficult for the country to have enough money to make its currency to be available in the world market.

7 0
2 years ago
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kakasveta [241]

Answer:

The correct answer is corporate culture.

Explanation:

Corporate or organizational culture is, basically, the ideology of a company: the set of attitudes, habits, beliefs and behaviors of the human group that makes it up, the way they interact and the way they manage external business transactions.

It can be developed intentionally according to the direction in which the company moves in terms of style, priorities and values, or in a more organic way as a result of the sum of the characteristic features of its members and the nature of the interaction between them.

The culture of a company is reflected in its public image, its dress code, its business hours, its facilities, the benefits of its employees, its sales volume, hiring decisions, the treatment of customers and the degree of satisfaction of them and all other aspects of operations.

7 0
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