The comparative statements of Blossom Company are presented here. BLOSSOM...

80.2K

Verified Solution

Question

Accounting

The comparative statements of Blossom Company are presented here.

BLOSSOM COMPANY Income Statements For the Years Ended December 31

2022

2021

Net sales

$1,512,400

$1,400,000

Cost of goods sold

847,000

804,800

Gross profit

665,400

595,200

Selling and administrative expenses

400,000

383,200

Income from operations

265,400

212,000

Other expenses and losses

Interest expense

17,600

16,000

Income before income taxes

247,800

196,000

Income tax expense

74,340

58,800

Net income

$ 173,460

$ 137,200

BLOSSOM COMPANY Balance Sheets December 31

Assets

2022

2021

Current assets

Cash

$ 48,080

$ 51,360

Debt investments (short-term)

59,200

40,000

Accounts receivable

94,240

82,240

Inventory

100,800

92,400

Total current assets

302,320

266,000

Plant assets (net)

519,200

416,240

Total assets

$821,520

$682,240

Liabilities and Stockholders Equity

Current liabilities

Accounts payable

$ 128,000

$116,320

Income taxes payable

34,800

33,600

Total current liabilities

162,800

149,920

Bonds payable

176,000

160,000

Total liabilities

338,800

309,920

Stockholders equity

Common stock ($4 par)

232,000

240,000

Retained earnings

250,720

132,320

Total stockholders equity

482,720

372,320

Total liabilities and stockholders equity

$821,520

$682,240

All sales were on account. Net cash provided by operating activities for 2022 was $176,000. Capital expenditures were $108,800, and cash dividends were $55,060.

image

Compute the following ratios for 2022. (Round all answers to 2 decimal places, e.g. 1.83 or 1.83%.) (a) Earnings per share (b) Return on common stockholders' equity (c) Return on assets (d) Current ratio (e) Accounts receivable turnover times (f) Average collection period days (g) Inventory turnover times (h) Days in inventory days (i) Times interest earned times (i) Asset turnover times (k) Debt to assets ratio (1) Free cash flow

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students