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  3. find cash, account receivable, inventory and total

Find cash, account receivable, inventory and total current assets ...

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Accounting

Find cash, account receivable, inventory and total current assets

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3. Here are the balance sheet and income statement of a corporation, with some information del iberately left: -class exercises 5 ABC Company Income Statement For the Year Ended Decimhar 31 onso Additional information: a. The equity ratio was 40% : the debt ratio was 60%. b. The only interest expense was on the long-term debt. c. The beginning inventory was 450,000 yuan: the inventory turnover was 4.8 times. d. The current ratio was 2 to 1 ; the quick ratio was 1 to 1 . e. The beginning balance in accounts receivable was 240,000 yuan: the accounts receivable turnover for the year was 12.8 times. All sales were made on account. Instructions: Complete the financial statement, using only the information available, and present supporting computations and explanations for all amounts appearing in the balance sheet and the income statement. Hint: In completing the IS, start with the net income figure (60% of net income before income taxes) and work up

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