The Following Ratios Have Been Computed for Southern Company for 2014

The following ratios have been computed for Southern Company for 2014. $$\begin{array} { l l l r } \text { Profit margin ratio } & 20 \% & & \\\text { Times interest earned } & 12 \text { times } & \text { Current ratio } & 2.5 : 1 \\\text { Accounts receivable turnover } & 5 \text { times } & \text { Debt to assets ratio } & 24 \%\end{array}$$
The 2014 financial statements for Southern Company with missing information follows:
$\begin{array}{c}\text {SOUTHERN COMPANY}\\\text { Comparative Balance Sheet}\\ \text {December 31 .}\\\begin{array}{lrr}\text { Assets }\\ \text { Cash } &\$25,000&\$35,000\\ \text {Debt Investments } &15,000&15,000\\ \text {Accounts receivable (net) } &?\quad(6)&50,000\\ \text { Inventory} &?\quad(7)&50,000\\ \text {Property, plant, and equipment (net) } &\underline{200,000}&\underline{160,000}\\ \text { Total assets } &\$\quad ?\quad(8)&\$310,000\\\end{array}\end{array}$



Instructions
Use the above ratios and information from the Southern Company financial statements to fill in the missing information on the financial statements. Follow the sequence indicated. Show computations that support your answers.