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BEULAH COMPANY

Price: $2.50


P14-6A The comparative statements of Beulah Company are presented below.

BEULAH COMPANY
Income Statement
For the Years Ended December 31


  2014 2013
Net sales  500,000  420,000
Expenses:
   Cost of goods sold  315,000  254,000
   Selling and administrative  120,800  114,800
   Interest expense  7,500  6,500
   Income tax expense  20,000  15,000
     Total expenses  463,300  390,300
Net income  36,700  29,700
 
Beulah Company
Balance Sheets
31-Dec
  2014 2013
Current assets
    Cash  21,000  18,000
   Short term investments  18,000  15,000
   Accounts receivable (net)  85,000  75,000
   Inventory  80,000  60,000
     Total current assets  204,000  168,000
Plant asset (net)  423,000  383,000
Total asset  627,000  551,000
 
Liabilities and stockholders' Equity
Current liabilites
   Accounts payable  122,000  110,000
   Income taxes payable  12,000  11,000
Total current liabilities  134,000  121,000
Long term liabilities
Bonds payable  120,000  80,000
Total liabilities  254,000  201,000
Stockholders' equity
Common stock $5  150,000  150,000
Retained earnings  223,000  200,000
Total stockholders' equity  373,000  350,000
Total liabilities and stockholders equity  627,000  551,000

Additional data:

The common stock recently sold at $19.50 per share.

Compute the following ratios for 2014. (Round Earnings per share and Acid-test ratio to 2 decimal places, e.g. 1.65, and all others to 1 decimal place, e.g. 6.8 or 6.8% .)


(a) Current. (h) Return on common stockholders’ equity.
(b) Acid-test.  (i) earnings per share
(c) Receivables turnover. (j) Price earnings
(d) Inventory turnover. (k) payout
(e) Profi t margin. (l) Debt to total assets
(f) Asset turnover.  (m) Times interest earned.
(g) Return on assets.        

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