The Following Data Are Taken from the Financial Statements of Edington

question 87

Essay

The following data are taken from the financial statements of Edington Company. The data are in alphabetical order. $\begin{array}{lrlr}\text { Accounts payable } & \$ 28,000 & \text { Net sales } & 500,000 \\\text { Accounts receivable } & 65,000 & \text { Other current liabilities } & 20,000 \\\text { Average common shares out. } & 20,000 & \text { Salaries and wages payable } & 7,000 \\\text { Cash } & 56,000 & \text { Stockholders' equity } & 135,000 \\\text { Gross profit } & 190,000 & \text { Total assets } & 300,000\\\text { Net income } \quad 50,000\end{array}$ Instructions
Compute the following:
(a) Current ratio. (c) Earnings per share.
(b) Working capital. (d) Debt to assets ratio.

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