Question: Scully Corporation's comparative balance sheets are given below.
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SCULLY CORPORATION
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Balance Sheets
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31-Dec
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2008
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2007
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Cash
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$4,300
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$3,700
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|
Accounts receivable
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21,200
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23,400
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Inventory
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10,000
|
7,000
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Land
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20,000
|
26,000
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Building
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70,000
|
70,000
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Accumulated depreciation
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(15,000)
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(10,000)
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Total
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$110,500
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$120,100
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Accounts Payable
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$12,370
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$31,100
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Common Stock
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75,000
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69,000
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Retained earnings
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23,130
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20,000
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Total
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$110,500
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$120,100
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Scully's 2008 income statement included net sales of $100,000, cost of goods sold of $60,000, & net income of $15,000.
Instructions;
[A] Current ratio
[B] Acid-test ratio
[C] Receivables turnover
[D] Inventory Turnover