Practice work. How do I calculate for d, e, f, please? Compute each of the following: (Round your answers to 2 decimal places.)a. Current ratiob. Earnings per sharec. Quick (acid-test) ratiod. Return on investmente. Return on equityf. Debt to equity ratio3.93$18.59 per share3.02%% Following is the balance sheet of Rooney Company for Year 3:ROONEY COMPANYBalance sheetAssetsCash$ 14,750Marketable securitiesAccounts receivable7,82013,46010,800InventoryProperty and equipmentAccumulated depreciation169,000(12,500)Total assets$203,330Liabilities and Stockholders' EquityAccounts payableCurrent notes payable8,3303,600Mortgage payableBonds payable4,70021,180Common stock114,60050,920Retained earningsTotal liabilities and stockholders' equity$203,330The average number of common stock shares outstanding during Year 3 was 850 shares. Net income for the year was $15,800.

Ratio analysis is the technique used to analyze the financial health of the company. Different…

Compute each of the following: (Round your answers to 2 decimal places.) a. Current ratio b. Earnings per share c. Quick (acid-test) ratio d. Return on investment e. Return on equity f. Debt to equity ratio 3.93 $ 18.59 per share 3.02 % % %

Compute each of the following: (Round your answers to 2 decimal places.) a. Current ratio b. Earnings per share c. Quick (acid-test) ratio d. Return on investment e. Return on equity f. Debt to equity ratio 3.93 $ 18.59 per share 3.02 % % %

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Practice work. How do I calculate for d, e, f, please?

Compute each of the following: (Round your answers to 2 decimal places.)
a. Current ratio
b. Earnings per share
c. Quick (acid-test) ratio
d. Return on investment
e. Return on equity
f. Debt to equity ratio
3.93
$
18.59 per share
3.02
%
%

Following is the balance sheet of Rooney Company for Year 3:
ROONEY COMPANY
Balance sheet
Assets
Cash
$ 14,750
Marketable securities
Accounts receivable
7,820
13,460
10,800
Inventory
Property and equipment
Accumulated depreciation
169,000
(12,500)
Total assets
$203,330
Liabilities and Stockholders' Equity
Accounts payable
Current notes payable
8,330
3,600
Mortgage payable
Bonds payable
4,700
21,180
Common stock
114,600
50,920
Retained earnings
Total liabilities and stockholders' equity
$203,330
The average number of common stock shares outstanding during Year 3 was 850 shares. Net income for the year was $15,800.

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