Information from Hartel Company€™s financial statements follows.

Average number of shares outstanding was 16,000 for 2014 and 15,000 for 2013.

Required
Compute the following ratios for Hartel Company for 2014 and 2013 and round computations to two decimal points.
a. Number of times interest was earned.
b. Earnings per share based on the average number of shares outstanding.
c. Price-earnings ratio (market prices: 2014, $60 per share; 2013, $48 per share).
d. Return on equity.
e. Netmargin.

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2014 2013 Net sales Income before interest and taxes Net income after taxes Bond interest expense Stockholders' equity, December 31 (2012: $480,000) Common stock, par $24, December 31 $2,000,000 360,000 256,000 40,000 720,000 420,000 $1,600,000 300,000 216,000 32,000 600,000 360,000