The balance sheet for Shaver Corporation reported the following: cash, $5,000; short-term investments, $10,000; net accounts receivable, $35,000; inventories, $40,000; prepaids, $10,000; equipment, $100,000; current liabilities, $40,000; notes payable (long- term), $70,000; total stockholders' equity, $90,000; net income, $3,320; interest expense, $4,400; income before income taxes, $5,280. Compute Shaver's debt-to- assets ratio and times interest earned ratio. (Round your answers to 2 decimal places.)

The balance sheet for Shaver Corporation reported the following: cash, $5,000; short-term investments, $10,000; net accounts receivable, $35,000; inventories, $40,000; prepaids, $10,000; equipment, $100,000; current liabilities, $40,000; notes payable (long- term), $70,000; total stockholders' equity, $90,000; net income, $3,320; interest expense, $4,400; income before income taxes, $5,280. Compute Shaver's debt-to- assets ratio and times interest earned ratio. (Round your answers to 2 decimal places.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 11MCQ: Chasse Building Supply Inc. reported net cash provided by operating activities of $243,000, capital...

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The balance sheet for Shaver Corporation reported the following: cash, $8,000; short-term investments, $13,000; net accounts receivable, $41,000; inventories, $46,000; prepaids, $13,000; equipment, $103,000; current liabilities, $46,000; notes payable (long-term), $76,000; total stockholders’ equity, $102,000; net income, $3,920; interest expense, $5,600; income before income taxes, $7,080. how would i compute the debt-to-assets and times interested earned?
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