This paper circulates around the core theme of The following financial statement information is available for Buil Corporation together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
137. The following
financial statement information is available for Buil Corporation:
2014
2013
Inventory $ 44,000 $ 43,000
Current
assets 80,000 106,000
Total
assets 432,000 358,000
Current
liabilities 25,000 36,000
Total
liabilities 102,000 88,000
The current ratio for 2014 is
a. .31:1.
b. 3.2:1.
c. 1.5:1.
d. 4.24:1.
138. The following
financial statement information is available for James Corporation:
2014
2013
Net
sales $780,000 $697,000
Cost
of goods sold 406,000 377,000
Net
income 120,000 80,000
Tax
expense 48,000 29,000
Interest
expense 14,000 14,000
The profit margin ratio for 2014 is
a. 15.4%.
b. 47.9%.
c. 32.1%.
d. 13.5%.
139. The following
financial statement information is available for Penn Corporation:
2014
2013
Stockholders’
equity – common $350,000 $270,000
Net
sales 784,000 697,000
Cost
of goods sold 406,000 377,000
Net
income 115,000 80,000
Inc
tax expense 48,000 29,000
Interest
expense 14,000 14,000
Dividends
paid to preferred
stockholders 24,000 20,000
Dividends
paid to common
stockholders 15,000 10,000
The return on common stockholders’
equity for 2014 is
a. 21.7%.
b. 32.9%.
c. 28.6%.
d. 26%.
140. The
following financial statement information is available for Long Corporation:
2014
2013
Net
income $115,000 $ 80,000
Income
tax expense 30,000 29,000
Interest
expense 18,000 14,000
Dividends
paid to preferred
stockholders 22,000 20,000
Dividends
paid to preferred
stockholders 15,000 10,000
MC 140. (Cont.)
The times interest earned for 2014 is
a. 7.4
times.
b. 6.4
times.
c. 9.1
times.
d. 7.8
times.
141. Dean
Corporation reported net income $58,000, net sales $500,000, and average assets
$800,000 for 2014. The 2014 profit margin was:
a. 5.8%.
b. 11.6%.
c. 62.5%.
d. 160%.
142. North
Company reports the following amounts for 2014:
Net income $ 160,000
Average
stockholders’ equity 2,000,000
Preferred
dividends 45,000
Par value
preferred stock 250,000
The 2014 rate of return on common
stockholders’ equity is:
a. 5.8%.
b. 6.6%.
c. 8.0%.
d. 9.1%.
143. Proctor Corporation
had beginning inventory $100,000, cost of goods sold $750,000, and ending
inventory $150,000. What was Proctor’s inventory turnover?
a. 3
times.
b. 6
times.
c. 7.5
times.
d. 5
times.
144. In 2014 Rome
Corporation reported income from operations $190,000, interest expense $60,000,
and income tax expense $40,000. Rome’s times interest earned ratio was:
a. 4.2
times.
b. 3.8
times.
c. 3.2
times.
d. 4.8
times.
145. Wrapp Company has
income before taxes of $350,000 and an extraordinary loss of $70,000. If the
income tax rate is 30% on all items, the income statement should show income
before irregular items and an extraordinary loss, respectively, of:
a. $350,000
and ($70,000)
b. $245,000
and ($24,000)
c. $245,000
and ($49,000)
d. $105,000
and ($21,000)
146. All of the following statements regarding
changes in accounting principles are true except:
a. Most
changes in accounting principles are only reported in current periods when the
principle change takes place.
b. Changes
in accounting principles are allowed when new principles are preferable to old
ones.
c. Most
changes in accounting principles are retroactively reported.
d. Consistency
is one of the biggest concerns when a change in accounting principle is
undertaken.
