Grab manufacturing co purchased a 10 ton draw press

1. The following balance sheet information (in $ millions) comes from the Annual Report to Shareholders of Marriott International Inc. for the 2008 fiscal year. (Certain amounts have been replaced with question marks to test your understanding of balance sheets.) In addition, you’re provided with the following information from an analysis of Marriott’s financial position at the same date:

Current ratio = 1.3296486

Acid-test ratio = 0.407422

Debt-to-equity ratio = 5.4514493

Compute the missing amounts (rounded to the nearest $ in millions) in the Marriott balance sheet.

Assets

Current assets

Cash and equivalents $134

Accounts and notes receivable ?

Inventory ?

Other 355

Total current assets ?

Property and equipment, net $1,443)

Intangible assets, net ?)

Investments 346)

Notes and other receivables, net 988)

Other 1,173)

Total non current asssets ?

Total assets ?

Liabilities and Shareholders’ Equity

Current liabilities

Accounts payable $704

Accrued payroll and benefits 633

Other payables and accruals 1,196

Total current liabilities 2,533

Long-term debt ?)

Other long-term liabilities 2,015)

Total long-term liabilities ?

Total liabilities ?

Shareholders’ equity

Class A common stock 5)

Additional paid-in capital 3,590)

Retained earnings 3,565)

Treasury stock and other (5,780)

Total shareholders’ equity 1,380

Total liabilities and shareholders’ equity $8,903

using the debt to equity ratio to solve for total liabilities ($1,380 x 5.4514493 = $7,523 in total liabilities). Then they can determine the other missing data in the bottom half of the balance sheet by subtraction. With total liabilities and shareholders' equity known, so are the total assets. The current assets can be computed by the current ratio ($2,533 x 1.3296486 = $3,368 in current assets). The quick assets can be found from the acid-test ratio ($2,522 x .407422 = $1,032 in quick assets less $134 in cash and cash equivalents = $898 in accounts and notes receivable). With that known, students can compute the inventory balance ($3,368 - 134 - 898 - 355 = $1,981). Finally, with current and total assets determined, the non-current assets can be found, leading to the missing balance in intangible assets.