the following balance sheet information ( in millions)comes from the Annual Repo
ID: 2447704 • Letter: T
Question
the following balance sheet information ( in millions)comes from the Annual Report to Shareholders of Hotel California for the 2013 fiscal year. (certain amounts have been replaced with question marks to test your understinding of balance sheets). In addiditon, you're provided with the following information from an analysis of Hotel Californian's financial position at the same date: Current ratio = 1.440584, Acud-test ratio= 01.489143, Debt-to-equity ration = 3.040706. compute the missing amounts(rounded to the nearest $ in millions)in the Hotel California balance sheet.
Assets:
Cash and equivalents $565
Accounts and notes receivable ?
Inventory ?
Other $175
Total current assets ?
Property and equipment, net $1443
Intangible assets, net ?
Investments $596
Notes and other receivables, net $988
Other $973
Total non-current assests ?
Total assets $8,934
Liabilityies and Shareholders' Equity
Current liabilities
AP $854
Accrued payroll and benefits ?
Other payables and accruals $996
Total current liablilities $2,533
Long-term debt ?
other lon-term liabilities $1,915
Total long-term liablilities ?
Total liablilities ?
Shareholders' equity
Common Stock $1,136
Additional paid in capital $3,490
Retained Earnings $3,265
Reasury stock and other (-$5,680)
Total shareholders' equity $2,211
Total liabilities and shareholders' equity $?
Please show work for answers.
Thank You
Explanation / Answer
Current ratio = Current asset/current liabilities 1.440584=CA/2533 Total Current asset= 1.440584*2533 Total Current asset=3649 The acid test ratio is similar to the current ratio except that Inventory, Supplies, and Prepaid Expenses are excluded. Acid test ratio =(Current asset-inventories)/current liabilities 1.489143= (CA-Inventories)/2533 CA-Inventories= 2533*1.489143 3772.0 Inventories= 3772 - current asset 123 Assets cash 565 Accounts receivable 2,786 Inventory 123 other 175 Total current asset 3,649 Property and equipment 1,443 Intangible assets 1,285 Investments 596 Notes and other receivables 988 other 973 Total non-current assests 5,285 Total assets 8934 liabilites AP 854 Accrued payroll and benefits 996 other payable 683 Total Current liabilites 2,533 long term debt 2,275 other long-term liabilities 1,915 Total long-term liablilities 4,190 Total liablilities 6,723 Shareholders' equity 4626 Retained Earnings 3265 Reasury stock and other -5680 Total shareholders' equity 2211 Total liabilities and shareholders' equity 8934
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.