Following is the balance sheet of Vernon Company for Year 3: VERNON COMPANY Balance sheet As
Following is the balance sheet of Vernon Company for Year 3:
VERNON COMPANY | |||
Assets |
|
|
|
Cash | 14,700 |
| |
Marketable securities |
| 8,420 |
|
Accounts receivable |
| 12,740 |
|
Inventory |
| 11,050 |
|
Property and equipment |
| 167,500 |
|
Accumulated depreciation |
| (12,700 | |
Total assets | 201,710 |
| |
Liabilities and Stockholders’ Equity |
|
|
|
Accounts payable | 8,780 |
| |
Current notes payable |
| 3,240 |
|
Mortgage payable |
| 4,650 |
|
Bonds payable |
| 22,020 |
|
Common stock |
| 113,700 |
|
Retained earnings |
| 49,320 |
|
Total liabilities and stockholders’ equity | 201,710 |
| |
The average number of common stock shares outstanding during Year 3 was 860 shares. Net income for the year was $16,000.
Required
Compute each of the following: (Round your answer to 2 decimal places. For percentages, 0.2345 should be entered as 23.45.)
Current ratio | |||
Earnings per share | Per share | ||
Quick (acid test) ratio | |||
Return on investment | |||
Return on equity | |||
Debt to equity ratio |