An incomplete income statement and an incomplete comparative balance sheet of Deines Corporation are presented below.

Additional information:

1. The accounts receivable turnover for 2017 is 10 times.

2. All sales are on account.

3. The profit margin for 2017 is 14.5%.

4. Return on assets is 22% for 2017.

5. The current ratio on December 31, 2017, is 3.0.

6. The inventory turnover for 2017 is 4.8 times.

Instructions

Compute the missing information given the ratios above. Show computations.

DEINES CORPORATION Income Statement For the Year Ended December 31, 2017 Net sales $11,000,000 Cost of goods sold Gross profit Operating expenses ? 1,665,000 Income from operations Other expenses and losses Interest expense Income before income taxes ? Income tax expense 560,000 Net income 2$ DEINES CORPORATION Balance Sheets December 31 Assets 2017 2016 Current assets Cash $ 450,000 $ 375,000 Accounts receivable (net) Inventory 950,000 1,720,000 ? Total current assets ? 3,045,000 Plant assets (net) 4,620,000 3,955,000 Total assets $ ? $7,000,000