hendi company has these comparative balance sheet data 249107

Hendi Company has these comparative balance sheet data:


Additional information for 2012:

1. Net income was $25,000.

2. Sales on account were $375,000. Sales returns and allowances amounted to $25,000.

3. Cost of goods sold was $198,000.

4. Net cash provided by operating activities was $48,000.

5. Capital expenditures were $25,000, and cash dividends were $10,000.


Compute the following ratios at December 31, 2012.

(a) Current.

(b) Receivables turnover.

(c) Average collection period.

(d) Inventory turnover.

(e) Days in inventory.

(f ) Cash debt coverage.

(g) Current cash debt coverage.

(h) Free cash flow.

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