Data for The Athletic Attic are provided in P12–4B. Earnings per share for the year ended December 31, 2024, are $1.36. The closing stock price on December 31, 2024, is $22.42.

Data from in P12-4B

The following income statement and balance sheets for The Athletic Attic are provided.

Required:
Calculate the following profitability ratios for 2024:
1. Gross profit ratio.
2. Return on assets.
3. Profit margin.
4. Asset turnover.
5. Return on equity.
6. Price-earnings ratio.

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THE ATHLETIC ATTIC Income Statement For the year ended December 31, 2024 Net sales Cost of goods sold Gross profit Expenses: Operating expenses Depreciation expense Interest expense Income tax expense Total expenses Net income $1,600,000 210,000 50,000 360,000 $8,900,000 5,450,000 3,450,000 2,220,000 $1,230,000