Segments

Bottles
Containers
Dollhouses
Silverware
Total

Cost of goods
Sales revenue
sold
$
65,000.00
$
95,000.00
$ 620,000.00
$
18,000.00
$798,000.00

$
26,000.00
$
62,000.00
$ 353,000.00
$
8,000.00
$449,000.00

Operating
expenses
$
8,000.00
$
48,000.00
$ 140,000.00
$
6,500.00
$202,500.00

Revenue Test:
10% of $798,000 $
79,800.00
Based on the revenue test Containers and Dollhouses are reportable since they both have

Operating profit(loss) test:

10% of $161,500 $
16,150.00
Based on the Operating profit(loss) test Bottles and Dollhouses are reportable since they b

Identifiable asset test

10% of $822,000 $
82,200.00
Based on the Identifiable asset test Only Dollhouses are reportable since it has Identifiable

Total
expenses

Operating
profit (loss)

Identifiable
assets

$
34,000.00 $
31,000.00 $
66,000.00
$ 110,000.00 $ (15,000.00) $
80,000.00
$ 493,000.00 $ 127,000.00 $ 640,000.00
$
14,500.00 $
3,500.00 $
36,000.00
$651,500.00 $161,500.00 $822,000.00

e reportable since they both have revenue more than 10% of total revenue

ouses are reportable since they both have Operating profit(loss) more than 10% of total Operating p

eportable since it has Identifiable asset more than 10% of total Identifiable asset

% of total Operating profit(loss)

Walrus Inc.
Cash
Accounts receivable
Inventory
Plant assets (net)
Total assets

$
$
$
$
$

60,000
170,000
100,000
582,000
912,000

Accounts payable
Accrued taxes and expenses payable
Long-term debt
Common stock ($10 par)
Paid-in capital in excess of par
Retained earnings
Total equities

$
$
$
$
$
$
$

110,000
42,000
120,000
260,000
50,000
330,000
912,000

Net sales (all on credit)

Cost of goods sold
Net income

$
$
$

2,000,000
1,400,000
120,000

Compute the following:

(a)
Current Assets
Current Liabilities
Current ratio

Current ratio
$
330,000
$
152,000
2.17

(b)
Cost of goods sold
Inventory
Inventory turnover

Inventory turnover
$
1,400,000
$
100,000
14.00

(c)
Sales
Accounts receivable
Receivables turnover

Receivables turnover
$
2,000,000
$
170,000
11.76

(d)
Shareholder Equity
Shares Outstanding
Book value per share

Book value per share

$
640,000
$
26,000
24.62

(e)
Net Income
Shares Outstanding

Earnings per share

$
120,000
$
26,000

Earnings per share

4.62

(f)
Total Debt
Total Assets
Debt to total assets

Debt to total assets

$
272,000
$
912,000
0.30

(g)
Net income
Net sales
Profit margin on sales

Profit margin on sales

$
120,000
$
2,000,000
6%

(h)
Net Income
Shareholder Equity
Return on common stock equity

Return on common stock equity

$
170,000
$
640,000
0.27