The comparative statements of Villa Tool Company are presented - 10368

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The comparative statements of Villa Tool Company are presented below.

 

 

VILLA TOOL COMPANY

 

Income Statement

 

For the Year Ended December 31

 

 

2012

 

2011

 

Net sales

$1,818,500

 

$1,750,500

 

Cost of goods sold

1,011,500

 

996,000

 

Gross profit

807,000

 

754,500

 

Selling and administrative expense

516,000

 

479,000

 

Income from operations

291,000

 

275,500

 

Other expenses and losses

 

 

 

 

   Interest expense

18,000

 

14,000

 

Income before income taxes

273,000

 

261,500

 

Income tax expense

81,000

 

77,000

 

Net income

$ 192,000

 

$ 184,500

 

 

 

 

 

 

VILLA TOOL COMPANY

 

Balance Sheets

 

December 31

 

Assets

2012

 

2011

 

Current assets

 

 

 

 

   Cash

$ 60,100

 

$ 64,200

 

   Short-term investments

69,000

 

50,000

 

   Accounts receivable (net)

117,800

 

102,800

 

   Inventory

123,000

 

115,500

 

        Total current assets

369,900

 

332,500

 

Plant assets (net)

600,300

 

520,300

 

Total assets

$970,200

 

$852,800

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

 

 

 

Current liabilities

 

 

 

 

   Accounts payable

$160,000

 

$145,400

 

   Income taxes payable

43,500

 

42,000

 

        Total current liabilities

203,500

 

187,400

 

Bonds payable

200,000

 

200,000

 

        Total liabilities

403,500

 

387,400

 

Stockholders' equity

 

 

 

 

   Common stock ($5 par)

280,000

 

300,000

 

   Retained earnings

286,700

 

165,400

 

        Total stockholders' equity

566,700

 

465,400

 

Total liabilities and stockholders' equity

$970,200

 

$852,800

 

Compute the following ratios for 2012. (Weighted average common shares in 2012 were 57,000, and all sales were on account.) (Round earnings per share, current ratio and acid-test ratio to 2 decimal places, e.g. 10.50.  Round other answers to 1 decimal place, e.g. 10.5.)

 

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