For Alvin Company for 2014, calculate any four ratios. Give ratio name, formula, and calculation, state of ratio, and one sentence of explaining each ratio.
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Alvin Company
|
2014
|
2015
|
|
cash
|
$ 25,000
|
$ 40,000
|
|
Account receivable
|
65,000
|
90,000
|
|
Inventory
|
150,000
|
170,000
|
|
Property, Plant and equipment
|
160,000
|
200,000
|
|
Account Payble
|
20,000
|
30,000
|
|
Short-term notes Payble
|
40,000
|
90,000
|
|
Long-term bond Payble
|
80,000
|
160,000
|
|
Common shares
|
170,000
|
145,000
|
|
Retained earnings
|
90,000
|
75,000
|
|
Net sales
|
$ 360,000
|
|
Cost of goods sold
|
184,000
|
|
Interest expense
|
24,000
|
|
Selling expenses
|
30,000
|
|
Administrative expenses
|
20,000
|
-- Additional Information:
a) Cash dividend of $ 57,000 were declared and Paid in 2014.
b) Weifgted-average common shares outstanding during 2014 was 60,000 shares.
c) Market value of common shares on December 31, 2014 was $ 18 per share.
d) Net cash provided by operating activities for 2014 was $ 63,000.
e) Net income before income taxes for 2014 was $ 102,000, income tax expense was $ 30,000, and net income was $ 72,000.