Assignment 1 What is the Balance Sheet? What does it tell us about an organization? What is the Income Statement? What does it tell us about an organization? What is the Cash Flow Statement? What does it tell us about an organization? Using the data from the following Financial Statements, compute: Current ratio: Quick ratio: Profit margin on sales: Return on total assets: Return on equity: Balance Sheet Ajax Corp. Acme, Inc. Cash $2,255,000 $67,000 Accounts Receivable $565,000 $1,110,000 Inventory $1,332,000 $2,441,000 Total Current Assets $4,152,000 $3,618,000 Net Property, Plant and Equipment $369,000 $1,327,000 Other Assets $211,000 $597,000 Total Assets $4,732,000 $5,542,000 Accounts Payable $27,000 $168,000 Notes Payable Sort Term $426,000 $819,000 Other Short Term Liabilities $2,000 $56,000 Total Current Liabilities $455,000 $1,043,000 Notes Payable Long Term $1,222,000 $943,000 Total Liabilities $1,677,000 $1,986,000 Stockholders' Equity $3,055,000 $3,556,000 Total Liabilities and Stockholders' Equity $4,732,000 $5,542,000 Income Statement Ajax Corp. Acme, Inc. Sales $32,752,000 $4,835,000 Cost of Sales $28,273,000 $2,966,000 Gross Profit $4,479,000 $1,869,000 Selling, General and Administrative Expenses $2,541,000 $912,000 Income before Interest and Taxes $1,937,000 $957,000 Interest Expense $129,000 $88,000 Income before Taxes $1,808,000 $869,000 Taxes $723,000 $280,000 Net Income $1,085,000 $589,000 What does each of these financial ratios tell us about a company? Current ratio Quick ratio: Profit margin on sales: Return on total assets: Return on equity: .