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Practice Questions-Missing Figures for Finance for Managers

11 Mar

Practice Questions-Missing Figures for Finance for Managers

Question No 1.

Using the Following information, complete the balance sheet. Please show all calculations.

 

 

   
  Long term debt to equity .5 to 1      
  Total Asset Turnover 2.5 times      
  Average Collection period 18 days      
  Inventory turnover 9 times      
  Gross Profit margin 10%      
  Quick Ratio 1 to 1      
       
Cash $ Notes and payables $ 100,000  
Accounts Receivable $ Long-term debt $    
Inventory $ Common stock $ 100,000  
Plant and Equipment $ Retained earnings $ 100,000  
Total Assets   Total Liabilities and shareholders’ equity      
           

 

Question No 2

the following information is available on the Vanier Corporation:    
BALANCE SHEET AS OF DECEMBER 31, 20X6 (in thousands)  
Cash and marketable securities    $  500.00   Accounts payable  $     400.00  
Accounts receivable    ?   Bank loan  ?  
Inventories    ?   Accruals  $     200.00  
Current Assets    ?   Current liabilities  ?  
        Long-term debt  $  2,650.00  
Net fixed assets    ?   common stock and retained earnings  $  3,750.00  
               
Total assets    ?   Total liabilities and equity  ?  
 

 

 

 

 

 

 

           
INCOME STATEMENT FOR 20X6      
(in thousands)      
             
Credit sales    $     8,000.00      
COGS    ?      
Gross profit    ?      
selling and admin expense    ?      
Interest Expense    $       400.00      
Profit before Taxes    ?      
Taxes (44% rate)    ?      
Profit after taxes    ?      
             
OTHER INFORMATION      
Current ratio 3 to 1      
Depreciation  $            500.00      
Net profit margin 7%      
Total liabilities. Shareholders equity 1 to 1      
Average collection period 45 days      
inventory turnover ratio 3 to 1      
         
Assuming that sales and production are steady throughout a 360-day year, complete the balance sheet and income statement for the Vanier Corporation

 

Question No.3

 

Based on the following information please complete the missing fields for a Balance Sheet Information Provided:

 

Debt to Assets = 35%

Quick Ration = 1.2

Asset Turnover = 4 times

Fixed Asset Turnover = 10 times

Current Ratio = 2:1

Average Collection Period = 20 days

 

Balance Sheet Information Required:

Cash                            _________                              Current Liabilities            __________

Receivables                _________                              Bonds Payable                        __________

Inventory                    _________                              Total Liabilities            __________

Total Current Assets   _________                              Net Worth                   __________

Plant and Equipment  _________

 

Total Assets   1,000,000                                            Total Liabilities / Net Worth______

 

 

 

Question No.4

 

Fill in the missing values on the balance sheet and income statement below for the Adams Company. Use the ratios that are given to calculate the missing values. These ratios are sufficient for you to derive the missing information:

Current ratio = 2.5616438356164

Debt ratio = 0.30395136778116

Total asset turnover = 0.85714285714286 times/yr

Gross profit margin = 0.71

Net profit margin = 0.1

Inventory turnover = 6.2907692307692 times/yr

Receivables turnover = 42.3 times/yr

IMPORTANT: Do NOT round the ratios until you have found the final answer in each case. This is done so that the values on the balance sheet and income statement come out as whole numbers.
Cash                            _________                              Account Payable            __________

 

Receivables                _________                              LTD                            __________

 

Inventory                    _________                              Total Liabilities            __________

 

Total Current Assets   _________                              Common Stock            __________

 

Plant and Equipment  _________                              Retained Earnings            __________

 

Total Assets               987,000                                   Total Liabilities / Equity_______

 

Sales                            _________________

 

Cost of goods sold      _________________

 

Net Income                 _________________

 

 

 

 
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Posted by on March 11, 2018 in Academic Writing

 

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