Financial Ratios
Given Below Are Comparative Balance Sheets and an Income

question 77

Essay

Financial ratios
Given below are comparative balance sheets and an income statement for the Excellent Corporation:
All sales were made on account. Cash dividends declared during the year totaled $58,550. Compute the following:
$\begin{array}{ll} \text { (a) Average accounts receivable turnover } & \text {\underline{\quad\quad}times } \\ \text { (b) Average inventory turnover } & \text { \underline{\quad\quad}times } \\ \text { (c)Earnings per share capital } & \text { \$\underline{\quad\quad} } \\ \text { (d) book value per share capital at year-end} & \text { \$\underline{\quad\quad} } \\ \text { (e) Current ratio at year-end } & \text {\underline{\quad\quad} to 1 } \\ \text { (f) Quick ratio at beginning of year } & \text { \underline{\quad\quad} to 1 } \\ \text { (g) Debtratio at year-end } & \text {\underline{\quad\quad}\% } \\ \text {(h) Operating expense ratio } & \text {\underline{\quad\quad}\% } \\ \text {(i) Retuin on assets } & \text {\underline{\quad\quad}\% } \\ \text {(i) Return on ordinary shareholdres' equity } & \text { \underline{\quad\quad}\% } \\\end{array}$

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Definitions:

Sand Dunes

Naturally occurring hills or ridges of sand piled up by the wind or sometimes by water flow, found in deserts and coastal areas.

Rain Forests

Tropical forests characterized by high rainfall, dense canopy, and significant biodiversity.

Commercial Logging

The practice of cutting down trees and preparing timber for market use, often involving large-scale operations.

Hydroelectric Power

Power produced by the movement of water, specifically the generation of electrical energy.