The Following Information Is from Omega Corporation's Balance Sheets as of December

question 58

Essay

The following information is from Omega Corporation's balance sheets as of December 31, 2013 and 2014 and its income statement for 2014:
$\begin{array}{|l|r|r|}\hline &2014 & 2013 \\\hline \text { Assets: }&& \\\hline \text { Cash } & \$ 18,000 & \$ 22,000 \\\hline \text { Marketable securities } & 25,000 & 0 \\\hline \text { Accounts receivable } & 38,000 & 42,000 \\\hline \text { Inventory } & 61,000 & 52,000 \\\hline \text { Prepaid insurance } & 6,000 & 9,000 \\\hline \text { Long-term investments } & 49,000 & 20,000 \\\hline \text { Plant assets, net } & 218,000 & 225,000 \\\hline \text { Total assets } & \$ 415,000 & \$ 370,000 \\\hline\\\hline \text { Net income } & \$ 62,250 \\\hline \text { Sales (all on credit) } & 305,000 \\\hline \text { Cost of goods sold } & 123,000 \\\hline \text { Interest expense } & 15,600 \\\hline \text { Income tax expense } & 27,000 \\\hline\end{array}$ From the above information, calculate the following ratios for 2014:
(a)Inventory turnover.
(b)Accounts receivable turnover.
(c)Return on total assets.
(d)Times interest earned.
(e)Total asset turnover.

---

Definitions:

Proposals

Documents or presentations offering solutions or services for consideration, often in a business or project context.

Wikis

Collaborative websites that allow users to create, edit, and link pages easily for shared knowledge building.

Writing

The act or process of composing text for various purposes, such as communication, expression, or information dissemination.

Collaboration

The process of two or more people, organizations, or entities working together to complete a task or achieve a goal.