Overview
Problems
8-1. Hytek Corporation ended last year with cash of $50,000, accounts receivable of $100,000, and inventory of $300,000. Property, plant, and equipment were valued at their original cost of $470,000, less accumulated depreciation of $170,000. Current liabilities other than income taxes owed (see details that follow) were $120,000, and long-term debt was $250,000. Stockholders’ equity consisted of (a) $90,000 capital stock investment and (b) accumulated retained earnings, which had totaled $130,000 at the end of 2017. Net sales for 2018 were $900,000. Expenses included $500,000 as cost of goods sold, $50,000 as allowance for depreciation, $85,000 as selling expense, and $65,000 as G&A expense. Interest income and expense were $5,000 and $25,000, respectively, and income taxes for the year (unpaid at year’s end) were $80,000. Dividends of $20,000 were paid. Prepare a balance sheet and an income statement reflecting these figures.
8-2. Use the output of Problem 8-1 to calculate the current ratio, acid test ratio, leverage ratio, and profit margin (formulas found in Table 8-3). Comment on the values you obtain.
I need it on excel sheet; one excel sheet with three tabs ((Income statement, balance sheet, and ratio). They should be in three cells ; cell number one is the description, cell number two is the a given data, and cell number three is a given data and calculated data. Attached are sample to help solving the problem.