Rhodes Bakery The Balance Sheet Taken from the Company's 2020 10-K Is

question 102

Essay

Rhodes Bakery
The balance sheet taken from the company's 2020 10-K is provided below:
-Refer to Rhodes Bakery. Calculate the following debt management ratios for 2020 and 2019: Times Interest Earned Ratio, Long-Term Debt-to-Equity Ratio, Debt-to-Equity Ratio, Long-Term Debt-to-Assets Ratio, and Debt-to-Assets Ratio. Income from operations were $65,000 and $49,000 and interest expense was $26,000 and $1,750 for 2020 and 2019, respectively. Round your answers to two decimal places. Comment on the company's debt management.

---

Definitions:

Mentally Competent

The legal and psychological ability of a person to make decisions or carry out tasks with an understanding of the consequences.

Suicide Rates

The statistical measure of the number of suicide deaths in a specified population, often expressed per 100,000 individuals.

Whites

A term that can refer to individuals of European descent but is broadly used in various contexts with different meanings and should be approached with cultural and societal awareness.

Native Americans

Indigenous peoples of the United States, including both Native American tribes and Alaska Natives.