Question

Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2016, were inventory, $47.900, total assets, $259,400, common stock, $89.000, and retained earnings, $34.451) CABOT CORPORATTON Income Statement For Year Ended December 31, 2017 Sales $454,600 Cost of goods sold 297,950 Gross profit 156,650 Operating expenses 98,70 Interest expense 4,700 Income before taxes 53,250 Income taxes 21,451 Net income $ 31,799 $ 17,500 Assets Cash Short-term investments Accounts receivable, net Notes receivable (trade) Merchandise inventory Prepaid expenses Plant assets, net Total assets CABOT CORPORATION Balance Sheet December 31, 2017 Liabilities and Equity $ 12,000 Accounts payable 8,400 Accrued wages payable 33,200 Income taxes payable 4.50 48,150 Long-term note payable, secured by mortgage on plant assets 2,500 Common stock 1473.00 Retained earnings $245,ese Total liabilities and equity 3,300 89,000 66,250 $ 248,050 These are short-term notes receivable arising from customer (trade) sales Required: Compute the following: (1) current ratio, (2) acid-test ratio. 3) days' sales uncollected. (4) inventory turnover (5) days' sales in inventory. (6) debt-to-equity ratio. 7 times interest earned, (8) profit margin ratio, 19) total asset turnover (10) return on total assets, and (11) return on common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below Rais Reg 9 - Req? Reg 10 Reg 11 Reg 5 Reg 5 Reg 1 and 2 Reg4 Reg 3 Compute the current ratio and acid-test ratio. (1) Current Ratio Choose Denominator: Choose Numerator: Current Ratio Current ratio 101 1 1 2017: (2) Acid-Test Ratio Choose Denominator: Acid-Test Ratio Acid-Test Radio Choose Nurnerator: = 2017: Reg 3 >

it is all apart of the the same problem, sorry there is so many parts, pls help

Answer 1

Based on the information available in the question, we can answer as follows:-

Requirement 1:-

Choose Numerator	/	Choose Denominator	=	Current Ratio
Current Assets	/	Current Liabilities	=	Current Ratio
100,750		25,400	=	3.97 times

Calculation:-

Particulars	2017 Balance
Cash	12,000
Accounts Receivable	33,200
Short term investments	8,400
Notes Receivable (trade)	4,500
Merchandise Inventory	40,150
Prepaid expenses	2,500
Current Assets	100,750
Accounts Payable	17,500
Accrued Wages Payable	4,600
Income taxes payable	3,300
Current Liabilities	25,400

Requirement 2:-

Choose Numerator	/	Choose Denominator	=	Acid Test Ratio
Quick Assets	/	Current Liabilities	=	Acid Test Ratio
53,600		25,400	=	2.11 times

Calculation as follows:-

Particulars	2017 Balance
Cash	12,000
Accounts Receivable	33,200
Short term investments	8,400
Quick Assets	53,600
Accounts Payable	17,500
Accrued Wages Payable	4,600
Income taxes payable	3,300
Current Liabilities	25,400
Acid Test Ratio	2.11

Requirement 3:-

Days sales uncollected

Choose Numerator	/	Choose Denominator	*	Days	=	Days Sales Uncollected
Accounts Receivable	/	Net Credit Sales	*	365	=	Days Sales Uncollected
33,200		454,600	*	365	=	26.55 Days

Requirement 4:-

Inventory Turnover

Choose Numerator	/	Choose Denominator	=	Acid Test Ratio
Cost of goods sold	/	Average Inventory	=	Inventory Turnover
297,950	/	44,025	=	6.77 times

Average Inventory = (Opening Inventory + Closing Inventory)

Average Inventory = ($47,900+$40,150)/2

Average Inventory = $44,025

Kindly note that we are supposed to answer a minimum of 4 questions, when there are multiple subsections within the same question that has been posted per the HOMEWORKLIB RULESs. Accordingly, i have answered the first 4 questions. Request you to post the remaining questions separately so that we can answer them as well. All the best and please let me know if you have any questions via comments :)