ACC 205 WEEK 5 EXERCISE ASSIGNMENT FINANCIAL RATIOS(NEW)/Uoptutorial
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Gross profit $15,000,000<br />
Operating expenses & interest ?<br />
Income before tax $ ?<br />
Income taxes, 40% ?<br />
Net income $ ?<br />
LOCK BOX, INC.<br />
Balance<br />
Accounts payable<br />
Notes payable (short-term)<br />
Bonds payable<br />
Common stock<br />
Retained earnings<br />
Total liabilities & stockholders' equity $ ?<br />
600,000 4,600,000<br />
2,000,000<br />
?<br />
$24,000,000<br />
Further information:<br />
1. Cost of goods sold is 60% of sales. All sales are on account.<br />
2. The company's beginning inventory is $5 million; inventory turnover is 4.<br />
3. The debt to total assets ratio is 70%.<br />
4. The profit margin on sales is 6%.
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