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The following information is available about the company:

a.	All sales during the year were on account.
b.	There was no change in the number of shares of common stock outstanding during the year.
c.	The interest expense on the income statement relates to the bonds payable; the amount of bonds outstanding did not change during the year.
d.	Selected balances at the beginning of the current year were:

Accounts receivable	$	120,000
Inventory	$	240,000
Total assets	$	1,080,000

e.	Selected financial ratios computed from the statements below for the current year are:

Earnings per share	$	3.78
Debt-to-equity ratio		0.800
Accounts receivable turnover		15.0
Current ratio		2.20
Return on total assets		14	%
Times interest earned ratio		7.0
Acid-test ratio		1.15
Inventory turnover		8.0

Required Compute the missing amounts on the company's financial statements. (Hint: What's the difference between the acid-test ratio and the current ratio?) (Do not round intermediate calculations.) Income Statement For the Year Ended March 31 Sales Cost of goods sold Gross Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (40%) Net income $ 2.700,000 margin 42,000 Balance Sheet March 31 Current assets Cash Accounts receivable, net Inventory Total current assets Plant and equipment, net Total assets Current liabilities $ 220,000 Bonds payable, 10% Total liabilities Stockholders' equity. Common stock, $2.80 par value Retained Total stockholders' equity Total liabilities and stockholders equity Required Compute the missing amounts on the company's financial statements. (Hint: What's the difference between the acid-test ratio and the current ratio?) (Do not round intermediate calculations.) Income Statement For the Year Ended March 31 Sales Cost of goods sold Gross Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (40%) Net income $ 2.700,000 margin 42,000 Balance Sheet March 31 Current assets Cash Accounts receivable, net Inventory Total current assets Plant and equipment, net Total assets Current liabilities $ 220,000 Bonds payable, 10% Total liabilities Stockholders' equity. Common stock, $2.80 par value Retained Total stockholders' equity Total liabilities and stockholders equity

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