Question: Quick question: I need help with this asset turnover ratio in red. thank you Condensed balance sheet and income statement data for Landwehr Corporation appear

Quick question: I need help with this asset turnover ratio in red. thank you

Quick question: I need help with this asset turnover ratio in red.thank you Condensed balance sheet and income statement data for Landwehr Corporation

Condensed balance sheet and income statement data for Landwehr Corporation appear below. LANDWEHR CORPORATION Balance Sheets December 31 2018 2017 Cash $ 25,000 $ 20,000 Accounts receivable (net) 50,000 45,000 Other current assets 90,000 95,000 Investments 75,000 70,000 Plant and equipment (net) 400,000 370,000 $640,000 $600,000 Current liabilities $75,000 $80,000 Long-term debt 80,000 85,000 Common stock, $10 par 340,000 310,000 Retained earnings 145,000 125,000 $640,000 $600,000 2016 $ 18,000 48,000 64,000 45,000 358,000 $533,000 $70,000 50,000 300,000 113,000 $533,000 LANDWEHR CORPORATION Income Statement For the Years Ended December 31 2018 Sales revenue $740,000 Less: Sales returns and allowances 40,000 Net sales 700,000 Cost of goods sold 420,000 Gross profit 280,000 Operating expenses (including income taxes) 235,000 Net income $ 45,000 2017 $700,000 50,000 650,000 400,000 250,000 220,000 $30,000 Additional information: 1. The market price of Landwehr's common stock was $4, $5, and $8 for 2016, 2017, and 2018, respectively. 2. All dividends were paid in cash. (a) Compute the following ratios for 2017 and 2018. (Round Earnings per share to 2 decimal places, e.g. 1.65, and all other answers to 1 decimal place, e.g. 6.8 or 6.8%.) 2017 2018 (1) Profit margin 4.6% 6.41% 1.13 times (2) Asset turnover (3) Earnings per share. (Weighted average common shares in 2018 were 32,000 and in 2017 were 31,000.) (4) Price-earnings ratio 1.41 5.7 times 60.01% 55.6% (5) Payout ratio (6) Debt to assets ratio 27.5% 24.2% Cow S ON

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