Use the following selected data from Success Systems\' income statement for the

Question

Use the following selected data from Success Systems' income statement for the three months ended March 31, 2014, and from its March 31, 2014, balance sheet to complete the requirements below: computer services revenue, $28,864; net sales (of goods), $19,752; total sales and revenue, $48,616; cost of goods sold, $13,258; net income, $19,098; quick assets, $89,124; current assets, $95,072; total assets, $121,048; current liabilities, $870; total liabilities, $870; and total equity, $120,178.

Compute the gross margin ratio (both with and without services revenue) and net profit margin ratio. (Round your answers to 1 decimal place.)

      GROSS MARGIN RATIO with service revenue_____% ? and without service revenue._____%?

Net profit margin ratio ________%?

Compute the current ratio and acid-test ratio. (Round your answers to 1 decimal place.)

Current Ratio _____ ?

Acid test Ratio_____?

Compute the debt ratio and equity ratio. (Round your answers to 1 decimal place.)

Debt ratio_______%?

Equity Ratio _____%?

What percent of its assets are current? What percent are long term? (Round your answers to the nearest whole percentage.)

Current Assets______%?

Long-term Assets _______%?

Explanation / Answer

1 gross margin with service revenue (48616-13258)/(28864+19752) 72.73% without (48616-13258)/(19752) 179.01% 2 current ratio 95072/870 109.2781609 acid test ratio 89124/870 102.4413793 3 debt ratio 870/121048 0.72% equity ratio 120178/121048 99.28% 4 current asset/total asset 95072/121048 78.54% long term/total asset (121048-95072)/121048 21.46%

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