Question

PORATE FİNANCE 1191 i? Ce gage Daytal Learing xm yahoo mallon whos-mez week 4: Oesti ns Sales Costs 48,800 34,800 Taxable income Taxes (30%) 14,000 4,200 Net income , $ 9,800 Addition to retained eanings 6,500 The balance sheet for the Heir Jordan Corporation follows Based on this information and the income statement, supply the missing information using the peecentage of sales approach Assume that accounts payable vary with sales, whereas notes payable do not (Leave no cells blank be certain to enter whenever the item is not a constant percentage of sales. Enter each answer as a percent rounded 2 decimal places, ¢4-32.16.) HEIR JORDAN CORPORATION Balance Sheet Percentage of Sales Liabilities and Owners Equity Current lablises Assets Accounts payable Notes payable 2.400 5.300 2.650 9 000 s 15.250 Cash Accounts recelvable Total 7.700 Long term deb 24 000 Common stock and paid-i18.00 38 400 READY FOR YOU

Answer 1

Sales	$              48,800
Percentage of Sales = (Assets or liabilities / Sales ) X 100
Assets	Amount	Percentage of Sales	Liabilities and Owner's Equity	Amount	Percentage of Sales
Cash	$                2,650	5.43%	Current Liability
Account Receivable	$                3,600	7.38%	Accounts Payable	$                     2,400	4.92%
Inventory	$                9,000	18.44%	Notes Payable	$                     5,300	10.86%
Total	$              15,250	31.25%	Total	$                     7,700	15.78%
			Long Term debt	$                   24,000	49.18%
Fixed Assets:
Net Plant and Equipment	$              38,400	78.69%	Owner's Equity
			Common Stock and paid in surplus	$                   18,000	36.89%
			Retained Earning	$                     3,950	8.09%
			Total	$                   21,950	44.98%
Total Assets	$              53,650	109.94%	total Shareholder's and Liabilities	$                   53,650	109.94%