Analytical case – complete an income statement and balance sheet using financial ratio data. Partially completed financial statements for Whittaker, Inc – December 31, 2011. follow:Sales ?Cost of goods sold ?Gross profit ?Operating expenses ?Income from operations ?Interest expense ?Income before taxes ?Income taxes (20 %) ?Net Income ?Current assets:Cash ?Accounts receivable net ?_________Total current assets …..171,000_________?__________?70,000?owners equity10,00015,000??total liabilities and owners equity ?Additional information:Financial ratios computed from these financial statements include the following:Current ratio….1.9 to 1Acid test ratio…1.3 to 1Debt/equity ratio 2.0 to 1Inventory turnover 4.0 timesAccounts receivable turnover 6.8 timesTimes interest earned 4,45 timesGross profit ratio 40%Return on investment 12%Earnings per share $5.52All sales during the year were made on account. Cash collections during the year exceeded sales by $14,000, and no uncollectable accounts were written off.The balance of the accounts receivable account was $57,000 on January 1, 2011.No common stock was issued during the year.Dividends declared and paid during the year were $7,600.The balance of the inventory account was $48,000 on January 1, 2011.Interest expense on the income statement relates to the 15% bonds payable; $10,000 of these bonds were issued on May 1, 2011; the remaining amount of bonds payable were outstanding throughout the year. All bonds were issued at face amount.Required: A. Complete the income statement and balance sheet for Whittaker, Inc. Show how each amount was determined.B. After completing part A, use your answers to recompute each of the financial ratios provided as additional information.Analytical case – complete an income statement and balance sheet using financial ratio data.Partially completed financial statements for Whittaker, Inc – December 31, 2011. follow:Sales ?Cost of…

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