Bethesda Mining Company reports the following balance sheet information for 2018 and 2019.
BETHESDA MINING COMPANY
Balance Sheets as of December 31, 2018 and 2019
2018 2019 2018 2019
Assets Liabilities and Owners’ Equity
Current assets Current liabilities
Cash $ 45,262 $ 57,602 Accounts payable $ 190,922 $ 198,611
Accounts receivable 61,281 81,639 Notes payable 86,020 137,588
Inventory 126,088 192,061
Total $ 276,942 336,199 Total $ 232,631 331,302
Long-term debt $ 239,000 $ 175,750
Owners’ equity
Common stock and 216,000 216,000
paid-in surplus
Accumulated retained 158,636 192,931
earnings
Fixed assets
Net plant and $ 657,947 $ 589,578
equipment Total $ 374,636 408,931
Total assets $ 890,578 920,880 Total liabilities and $ 890,578 920,880
owners’ equity
Calculate the following financial ratios for each year:
a. Current ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
b. Quick ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
c. Cash ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
d. Debt-equity ratio and equity multiplier. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
e. Total debt ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)