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View History Bookmarks People Window Help gStockton Portal × x Course Content-ACCT-211 tps://edugen.wileyplus.com/edugen/student/mainfr.uni ment (b) Your answer is incorrect. Try again. Compute the following ratios and values. (Note: Grove\'s average number of shares outstanding during e.g. 15.55, debt to assets ratio to 1 decimal places, eg. 15.5% and earnings per share value 1. Current ratio 2. Debt to assets ratio 46,700 3. Working capital 4. Earnings per share value SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT By accessing this Question Assistance, you ill learn while you earn points based on the Point Potential All Rights Reserved. A Division of

Solution

a)Current asset =Accounts receivable +cash+supplies

           = 8000+24000+4500

             = 36500

current liability: accounts payable 18500

Current ratio = current asset /current liabilities

        = 36500/18500

        = 1.97 : 1

2)Debt to asset ratio =Total debt /total asset

    = 36500/83200

= .439 or 43.9%

3)working capital = current asset -current liabilities

     = 36500-18500

     = 18000

4)Earning per share = Net Income /shares outstanding

           **Average number of shares outstanding is cutted in image .