RONDO CORPORATIONBalance SheetsDecember 31  2017 2016Cash  $ 5,300  $ 3,700Accounts receivable  21,200 23,400Inventory  9,000 7,000Land  20,000 26,000Buildings 70,000 70,000Accumulated depreciation—buildings  -15,000 -10,000Total  $110,500  $120,100Accounts payable  $ 10,370  $ 31,100Common stock 75,000 69,000Retained earnings  25,130 20,000Total  $110,500  $120,100 Rondo’s 2017 income statement included net sales of $120,000, cost of goods sold of $70,000, and net income of $14,000.Compute the below mentioned financial ratios  for 2017.Current ratioa.3.42b.5.44c.2.43d.3.6Clear my choiceQuestion 3Not yet answeredMarked out of 3.00Flag questionQuestion textAccounts receivable turnovera.8.5b.4.36c.5.38d.4.99Clear my choiceQuestion 4Not yet answeredMarked out of 3.00Flag questionQuestion textReturn on common stockholders’ equitya.15.10%b.13.90%c.13.30d.14.80%Clear my choiceQuestion 5Not yet answeredMarked out of 3.00Flag questionQuestion textDebt to assets ratioa.8.50%b.9.40%c.7.90%d.10.10%Clear my choiceQuestion 6Not yet answeredMarked out of 3.00Flag questionQuestion textReturn on assets.a.11.80%b.13.10%c.12.10%d.11.50%Clear my choice

Inventory turnover.a.8.8b.7.8c.9.7d.10Clear my choiceQuestion 2Not yet answeredMarked out of 3.00Flag questionQuestion textCase StudyRONDO CORPORATIONBalance SheetsDecember 31  2017 2016Cash  $ 5,300  $ 3,700Accounts receivable  21,200 23,400Inventory  9,000 7,000Land  20,000 26,000Buildings 70,000 70,000Accumulated depreciation—buildings  -15,000 -10,000Total  $110,500  $120,100Accounts payable  $ 10,370  $ 31,100Common stock 75,000 69,000Retained earnings  25,130 20,000Total  $110,500  $120,100 Rondo’s 2017 income statement included net sales of $120,000, cost of goods sold of $70,000, and net income of $14,000.Compute the below mentioned financial ratios  for 2017

The following amounts were reported on the December 31, 2022, balance sheet:Retained earnings $ 140,000Buildings and equipment, net of accumulated depreciation 150,000Accounts receivable 38,000Common stock 20,000Wages payable 5,000Cash 13,000Land 60,000Accounts payable 25,000Bonds payable 90,000Merchandise inventory 24,000The current ratio at December 31, 2022 was:

The balance sheet shows the following accounts and amounts:Cash $26,000; Short-term Debt $42,000; Buildings and Equipment $840,000; Inventory, $88,000; Notes Payable $120,000; Accumulated Depreciation $220,000; Common Stock $160,000; Accounts Receivable $76,000; Retained Earnings $474,000; Accounts Payable $34,000.Total assets on the balance sheet are:Multiple Choice$1,030,000.$734,000.$1,250,000.$810,000.

QUESTION ONE (50 marks)Johnson has been trading of sports equipment and accessories for some years. The followinglist of balances has been extracted from his ledger as at March 31, 2023.$Rent, rates and insurance 15,000Electricity paid 6,000Postages and stationery 800Advertising 36,500Salaries and wages 35,000Bank interest expenses 3,500Cash in hand 100Stock at April 1, 2022 5,000Debtors 9,000Fixtures and fittings at cost 9,000Accumulated depreciation of Fixtures and Fittings at April 1, 2022 1,800Sales 150,000Creditors 9,680Purchases 100,000Office equipment at cost 5,000Accumulated depreciation of Office Equipment at April 1, 2022 500Share capital 52,9205-year bank loan at interest rate of 20% per annum 10,000The following additional information as at March 31, 2023 includes:1. Stock at March 31, 2023 was valued at $50,000.2. An electricity bill of $300 for January 2023 was received. This bill has not yet beensettled until May 2023.3. Rates was paid in advance for April to June 2023: $1,200.4. A customer has failed to make payment of $1,500 for a long time. It deemed as baddebts as at March 31, 2023.5. Depreciation of fixture and fittings: 20% per annum on straight line basis.6. Depreciation of office equipment: 10% per annum on straight line basis.2Required:(a) Prepare a Profit and Loss account for the year ended March 31, 2023 and aBalance Sheet as at that date. (30 marks)(b) Give comments on the above information given. (20 marks)

a) You are given below a draft trial balance for Shafer Company. The trialbalance has some errors.Shafer CompanyTrial BalanceFor the Quarter Ended March 31, 2017Debit (Sh) Credit (Sh)Cash 28,000Accounts Receivable 32,000Prepaid Insurance 2,500Equipment 60,000Accounts Payable 15,000Unearned Service Revenue 10,000Notes Payable 20,000Capital 30,000Retained Earnings 27,000Dividends 1,500Service Revenue 52,000Salaries and Wages Expense 15,000Utilities Expense 5,000Rent Expense 10,000150,500 150,500Required:Prepare a corrected trial balance for Shafer Company. All accounts should have anormal balance. (6 marks)