Computing and Analyzing Stockholders' Equity Ratios The balance sheets for Crosby Inc. and Gretzky Company reflect the following. Crosby Inc Gretzky Inc. Current liabilities $ 90,000 $ 90,000 Long-term liabilities 96,000 690,000 Stockholders' equity Common stock, $5 par 510,000 138,000 6% Preferred stock, $10 par, cumulative 150,000 60,000 Retained earnings 180,000 90,000 Total liabilities and stockholders' equity $1,026,000 $1,068,000 Net income, included in above retained earnings amount $128,000 $60,000 Common stockholders' equity, prior year 675,000 270,000 Compute the following ratios, rounding your answers to two decimal places. Crosby Inc. Gretzky Inc. a. Compute the total liabilities-to-equity ratio. 0 0 b. Compute the return on equity ratio. 0 0 C. Compute book value per share of common stock. 0 0 d. Interpret the results. When comparing Crosby Inc. to Gretzky Inc., Crosby Inc. has Indicated by the total liabilities-to-equity ratio Indicated by the return on equity ratio Indicated by the book value per share These results indicate that Crosby, as compared to Gretzky, has Profitability Solvency