Question: will rate good Problem 13-4A Calculating financial statement ratios LO P3 Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit;

Problem 13-4A Calculating financial statement ratios LO P3 Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory, $56,900; total assets, $219,400; common stock, $82,000; and retained earnings, $39.106.) CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 449,600 Cost of goods sold 297,550 Gross profit 152,950 Operating expenses 99,500 Interest expense 4,500 Income before taxes 48,050 Income tax expense 19,356 Net Income $ 28,694 Assets Cash Short-term investments CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 20,000 Accounts payable 8,400 Accrued wages payable $ 15,500 4,400 Assets Cash Short-term Investments Accounts receivable, net Merchandise Inventory Prepaid expenses Plant assets, net Total assets CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 20,000 Accounts payable 8,400 Accrued wages payable 31,400 Income taxes payable 34,150 Long-tern note payable, secured by mortgage on plant assets 3,050 Conmon stock 147,380 Retained earnings 3 244,300 Total liabilities and equity $ 15,500 4,400 4,200 70,400 82,000 67,800 $ 244,300 Required: Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected. (4) inventory turnover (5) days' sales in inventory (6) debt-to-equity ratio (7) times interest earned. (8) profit margin ratio, (9) total asset turnover (10) return on total assets, and (11) return on common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Reg 1 and 2 Reg 3 Req4 Reg 5 Reg 6 Reg 7 Reg 8 Reg 9 Reg 10 Reg 11
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