Financial & Managerial Accounting 17th Edition by Jan Williams ,Susan Haka,Mark Bettner,Joseph Carcello

تمرين 49

Measuring and Evaluating Profitability and Liquidity
A recent balance sheet of Denver Tours is provided below:

Other information provided by the company is as follows:

Compute and discuss briefly the significance of the following measures as they relate to Denver Tours:
a. Net income percentage in 2015.
b. Return on equity in 2015.
c. Working capital on December 31, 2015.
d. Current ratio on December 31, 2015.