Question: Data for Barry Computer Co. and its industry averages follow. The firm's debt is priced at par, so the market value of its debt equals

Data for Barry Computer Co. and its industry averages follow. The firm's debt is priced at par, so the market value of its debt equals its book value. Since dollars are in thousands, number of shares are shown in thousands too.

Barry Computer Company:
Balance Sheet as of December 31, 2018 (In Thousands)
Cash $34,650 Accounts payable $117,810
Receivables 194,040 Other current liabilities 90,090
Inventories 187,110 Notes payable to bank 69,300
Total current assets $415,800 Total current liabilities $277,200
Long-term debt $138,600
Net fixed assets 277,200 Common equity (27,720 shares) 277,200
Total assets $693,000 Total liabilities and equity $693,000

Barry Computer Company: Income Statement for Year Ended December 31, 2018 (In Thousands)
Sales $1,050,000
Cost of goods sold
Materials $462,000
Labor 294,000
Heat, light, and power 52,500
Indirect labor 63,000
Depreciation 31,500 903,000
Gross profit $ 147,000
Selling expenses 105,000
General and administrative expenses $ 10,500
Earnings before interest and taxes (EBIT) $ 31,500
Interest expense 13,860
Earnings before taxes (EBT) $ 17,640
Federal and state income taxes (40%) 7,056
Net income $ 10,584
Earnings per share $ 0.38182
Price per share on December 31, 2018 $ 11.00

(A.) Calculate the indicated ratios for Barry. Round your answers to two decimal places.

Ratio Barry Industry Average
Current ___x 1.45x
Quick ___x 0.79x
Days sales outstandinga ___days 32.12 days
Inventory turnover ___x 5.78x
Total assets turnover ___x 1.77x
Profit margin ___% 0.96%
ROA ___% 1.70%
ROE ___ % 4.06%
ROIC ___% 7.80%
TIE ___x 2.32x
Debt/Total capital ___ % 43.76%
M/B ___% 4.10%
P/E ___% 31.36%
EV/EBITDA ___ % 10.08%

aCalculation is based on a 365-day year. (B.) Construct the DuPont equation for both Barry and the industry. Round your answers to two decimal places.

FIRM INDUSTRY
Profit margin ___% 0.96%
Total assets turnover ___x 1.77x
Equity multiplier ___ x ___x

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