5 For the FY 2018, Dorchester Company’s balance sheet
5 For the FY 2018, Dorchester Company’s balance sheet included the
following current items: cash $49,000, accounts receivable $147,000, inventories $102,000, prepaid expenses $24,000, accounts payable $87,000, and accrued expenses $71,000. Use this information to determine the Current Ratio.
6 For the FY 2018, Frederick Company had net sales of $1,100,000 and net income of $65,000, paid income taxes of $22,500, and had before tax interest expense of $20,000. Use this information to determine the Times Interest Earned Ratio.
7 The following financial information is for Annapolis Corporation are for the fiscal years ending 2019 & 2018 (all balances are normal):
Item/Account
2019
2018
Accounts Receivable
$40,000
$32,000
Inventory
42,000
38,000
Net Sales (all credit)
480,000
350,000
Cost of Goods Sold
154,000
152,000
Net Income
27,200
24,800
Use this information to determine the accounts receivable average collection period for FY 2019. (Use 365 day year. Round your answers to one decimal place.)
8 Towson Manufacturing had a Work in Process balance of $122,000 on January 1, 2018. The year end balance of Work in Process was $128,000 and the Cost of Goods Manufactured was $630,000. Use this information to determine the total manufacturing costs incurred during the fiscal year 2018.