Question

The company MONTES, SA is dedicated to the furniture marketing business, it has the following accounts for analysis: Real estate for $15,500, vehicles for $8,000, long-term debt for $9,100, suppliers for $8,500, short-term debt for $9,500. It has inventories of $7,500, capital for $7,500, reserves for $2,500, clients for $6,500 and cash of $1,100 (data worked in thousands). It is known that, in the last year, the company has credit sales of $5,200 and cash sales of $3,400. The company has sales costs of $2,700; variable expenses of $1,100 (data in thousands); and variable costs correspond to 20% of sales revenue. Based on the above, carry out the following activities: 1. Prepare the company's financial statement to be presented to the board of directors. 2. Determine the accounts and create the general balance sheet of the financial statements for the company. 3. Perform the financial analysis of the company for the current period.

185

likes
923 views

Answer to a math question The company MONTES, SA is dedicated to the furniture marketing business, it has the following accounts for analysis: Real estate for $15,500, vehicles for $8,000, long-term debt for $9,100, suppliers for $8,500, short-term debt for $9,500. It has inventories of $7,500, capital for $7,500, reserves for $2,500, clients for $6,500 and cash of $1,100 (data worked in thousands). It is known that, in the last year, the company has credit sales of $5,200 and cash sales of $3,400. The company has sales costs of $2,700; variable expenses of $1,100 (data in thousands); and variable costs correspond to 20% of sales revenue. Based on the above, carry out the following activities: 1. Prepare the company's financial statement to be presented to the board of directors. 2. Determine the accounts and create the general balance sheet of the financial statements for the company. 3. Perform the financial analysis of the company for the current period.

Expert avatar
Hermann
4.6
126 Answers
1. **Income Statement**:
- Calculate Total Revenue:
\$5,200,000 + \$3,400,000 = \$8,600,000
- Given Cost of Goods Sold (COGS):
\$2,700,000
- Calculate Variable Costs (20% of Revenue):
0.20 \times \$8,600,000 = \$1,720,000
- Calculate Gross Profit:
\$8,600,000 - \$2,700,000 - \$1,720,000 = \$4,180,000
- Given Variable Expenses:
\$1,100,000
- Calculate Net Income:
\$4,180,000 - \$1,100,000 = \$3,080,000

2. **Balance Sheet**:
- **Assets**:
- Real Estate:
\$15,500
- Vehicles:
\$8,000
- Inventories:
\$7,500
- Clients:
\$6,500
- Cash:
\$1,100
- Total Assets:
15,500 + 8,000 + 7,500 + 6,500 + 1,100 = 33,100
- **Liabilities**:
- Long-term Debt:
\$9,100
- Suppliers:
\$8,500
- Short-term Debt:
\$9,500
- Total Liabilities:
9,100 + 8,500 + 9,500 = 27,100
- **Equity**:
- Capital:
\$7,500
- Reserves:
\$2,500
- Total Equity:
7,500 - 2,500 = 6,000

3. **Financial Analysis**:
- Calculate Current Ratio:
\frac{15,100}{19,100} = 0.80
- Calculate Quick Ratio (excluding inventories):
\frac{15,100 - 7,500}{19,100} = 0.54
- Calculate Debt to Equity Ratio:
\frac{27,100}{6,000} = 4.52
- Calculate Return on Equity (using net income and equity):
\frac{\$3,080,000}{6,000} \times 100 = 51.33\%

Frequently asked questions (FAQs)
Math Question: What does the integral of a function represent?
+
What is the value of the sine function for an angle of 45 degrees?
+
What is the simplified form of √(18) - √(8) + √(50)?
+
New questions in Mathematics
A=m/2-t isolate t
Using a remarkable product you must factor the expression: f(x) =36x^2-324 and you are entitled to 5 steps
3(2+x)-2(2x+6)=20-4x
How many percent is one second out a 24 hour?
what is 3% of 105?
5) A family with a father, mother and 3 children must sit on five chairs in a row and the only restriction is that the mother must be at one end. In how many different ways can they be seated?
58+861-87
Two numbers differ by 7, and the sum of their squares is 29. Find the numbers.
A bird randomly chooses to land on 1 of 12 perches available in its aviary. Determine the Probability of it landing on a perch numbered 8 and then on a perch marked with a prime number; take into account that he never lands on the same perch in the sequence.
By direct proof, how can you prove that “The sum of any three consecutive even integers is always a multiple of 6”.
A recurring sequence is one where elements repeat after completing one standard. If the sequence AB8C14D96AB8C1... is recurring its twentieth term is equal to: (A) B. (B) 8. (C) A. (D) 6. (E) D.
From 1975 through 2020 the mean annual gain of the Dow Jones Industrial Average was 652. A random sample of 34 years is selected from this population. What is the probability that the mean gain for the sample was between 400 and 800? Assume the standard deviation is 1539
Determine the increase of the function y=4x−5 when the argument changes from x1=2 to x2=3
The two sides of the triangle are 12 cm and 5 cm, and the angle between the sides is 60°. Cover the area of ​​the triangle!
392929-9
Sabendo+que+o+tri%C3%A2ngulo+ABC+%C3%A9+ret%C3%A2ngulo+e+que+um+de+seus+%C3%A2ngulos+mede+30+quanto+mede+o+terceiro+ tri%C3%A2ngulo
We have received our p&l statement back from accounts. The board has asked for an innovation hub. What items should we prioritise reviewing to decide if we can afford an innovation hub?
4m - 3t + 7 = 16
Solve the system of equations by the addition method. 0.01x-0.08y=-0.1 0.2x+0.6y=0.2
(3b)⋅(5b^2)⋅(6b^3)