Exercise 13-13 Your answer is partially correct. Try again. The condensed financial statements of Wildhorse Co. for the years 2016 and 2017 are presented below. WILDHORSE CO. Balance Sheets December 31 (in thousands) Current assets 2017 2016 Cash and cash equivalents Accounts receivable (net) $330 $360 650 580 Inventory 500 430 Prepaid expenses 130 160 Total current assets 1,610 1,530 Property, plant, and equipment (net) 410 380 Investments 190 190 Intangibles and other assets 530 510 Total assets $2,740 $2,610 Current liabilities $1,000 $970 Long-term liabilities Stockholders' equity-common 520 420 1,220 1,220 Total liabilities and stockholders' equity $2,740 $2,610 WILDHORSE CO. Income Statements For the Year Ended December 31 (in thousands) Sales revenue 2017 2016 $3,840 $3,500 Costs and expenses Cost of goods sold 1,150 1,070 Selling & administrative expenses 2,400 2,330 Interest expense 10 20 Total costs and expenses 3,560 3,420 280 80 112 32 $ 168 $ 48 Income before income taxes Income tax expense Net income Compute the following ratios for 2017 and 2016. (Round current ratio and inventory turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 12.6%.) (a) Current ratio. (b) Inventory turnover. (Inventory on December 31, 2015, was $370.) (c) Profit margin. (d) Return on assets. (Assets on December 31, 2015, were $2,480.) (e) Return on common stockholders' equity. (Equity on December 31, 2015, was $970.) (f) Debt to assets ratio. (g) Times interest earned. Current ratio. Inventory turnover. 2017 2016 1.61:1 1.58:1 2.47 2.67 Profit margin. 4.4 % 1.4 % Return on assets. 6.1 % 1.8 % Return on common stockholders' equity. 13.7 % 4.4% Debt to assets ratio. 55.5 % 53.3 % Times interest earned. 29 times 5 times Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT Question Attempts: 1 of 2 used