Based on the info provided can you solve the questions asked

Based on the info provided can you solve the questions asked in the following link:  https://www.chegg.com/homework-help/questions-and-answers/version-1-company-matisse-company-reporting-year-2016-corporation-uses-calendar-year-jan-1-q25407096

Solution

Workings: I…..Cash balance as on Dec.31,2016 Cash & Equivalents -Beg. Bal. (1/1/2016) 59000 Add:Operating Activities - Net Cash Inflow $3,000 3000 Add:Investing Activities - Net Cash Inflow $6,000 6000 Less:Financing Activities - Net Cash Outflow $4,000 -4000 Ending balance of cash 64000 II…..Balance sheet as on Dec.31, 2015 Liabilities Assets Current Liabilities/Current assets 15230 77301 Total Liabilities 26120 Total Equity 102380 Total Liabilities /Assets 128500 128500 III... Total Owners\' equity (12/31/2015 102380 Less: Treasury stock -purchase -394 Add: Current year net income(Bal.fig.) 2006 Less: dividend -132 Total Owners\' Equity on 12/31/2016 103860 1. Income statement for the yr. ended Dec.31,2016 % to total revenue % to total expenses Gross Sales Revenue 80000 100 Less: Sales Returns -4600 8.39% Sales allowances 10%*80000 -8000 14.59% Sales Discounts 3%*80000 -2400 -15000 4.38% Net Sales 65000 81.25% Less: Cost of Goods Sold 25313 46.15% Less:Purchase discounts -826 1.03% Less:Purchase returns & allowances -1200 23287 1.50% Gross Profit 41713 Less: Operating Expenses: Other expenses 378 0.69% Administrative Expense 5000 9.12% General expense 982 1.79% Selling Expense 8000 14.59% Research & Development 9832 17.93% Rent revenue -1001 1.25% Depreciation & other expenses 15656 38847 28.54% Net Income 2866 3.58% Less: Tax at 30% *2866 860 1.57% Net Income after tax 2006 2.51% 2. Balance sheet as at Dec 31,2016 Assets % to total assets Current assets Cash (as per workings) 64000 49.07% Accounts Receivable 13249 10.16% Allowance for Doubtful Accounts -2400 -1.84% Prepaid Expenses 2560 1.96% Inventory (4,200-2026) 2174 1.67% Total current assets 79583 61.02% Long-Term Assets Trading securities 395 0.30% Held to Maturity Investments 3079 2.36% Other Long Term Assets 3280 2.51% Intangibles 4607 3.53% Goodwill 15599 11.96% Property/Plant/Equipment 32746 25.11% Accumulated Depreciation -8863 -6.80% Total Long-Term Assets 50843 38.98% Total assets 130426 100.00% Liabilities & Equity Liabilities Current Liabilities Sales tax payable 582 0.45% Accounts Payable 1715 1.31% Interest Payable 1900 1.46% Estimated Warranty Liability 1949 1.49% Deferred Income Tax 1971 1.51% Unearned Revenue 2000 1.53% Capital Lease Obligation -current portion 2009 1.54% Accrued Wage & Salary 3100 2.38% Income Taxes Payable 3550 2.72% Total current liabilities 18776 14.40% Long-term Liabilities Notes Payable - Maturity 2018 2992 2.29% Bond Payable (Maturity 2020) 4562 3.50% Capital Lease Obligation (2,245-2009) 236 0.18% Total Long-term Liabilities 7790 5.97% Total Liabilities 26566 20.37% Total Equity 103860 79.63% Total liabilities & equity 130426 100.00% 3.Current Ratio for 2016 Current assets/Current Liabilities 79583/18776= 4.24 4. Debt to Asset Ratio for 2016.   (Liabilities / Assets) 26566/130426= 0.2037 5. Gross Profit Margin for 2016. (Gross Profit / Total Revenue) 41713/65000= 64.17% 6. Net Profit Margin for 2016. (Net Income / Total Revenue) 2006/65000= 3.09% 7. Return on Assets for 2016. (Net Income / Average Assets) 2006/((128500+130426)/2)= 1.55% 8. Return on Equity for 2016. (Net Income / Average Equity) 2006/((102380+103860)/2)= 1.95% 9. Comparing the year 2016 to 2015, is the company more liquid or less liquid in 2016? Current Ratio for 2015= 77301/15230= 5.08 Current Ratio for 2016= 4.24 The company is less liquid in 2016 as its current ratio 4.24 < 5.08 for 2015 10. Comparing the year 2016 to 2015, is the company more solvent or less solvent in 2016? Debt to Asset Ratio for 2015   (Liabilities / Assets) 26120/128500= 0.2033 Debt to Asset Ratio for 2016   (Liabilities / Assets) 0.2037 Equally solvent in both the years.