The comparative financial statements of Quest Polymers, Inc., are as follows. The market price of Quest Polymers, Inc., common stock was $64 on December 31, 2007.

Instructions

Determine the following measures for 2007, rounding to nearest single digit after the decimal point:

1. Working capital

2. Current ratio

3. Quick ratio

4. Accounts receivable turnover

5. Number of days’ sales in receivables

6. Inventory turnover

7. Number of days’ sales in inventory

8. Ratio of fixed assets to long-term liabilities

9. Ratio of liabilities to stockholders’ equity

10. Number of times interest charges earned

11. Asset turnover

12. Rate earned on total assets

13. Rate earned on stockholders’ equity

14. Earnings per share on common stock

15. Price-earnings ratio

16. Dividends per share of common stock

17. Dividend yield

18. DuPont formula

19. Leverage formula

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Quest Polymers, Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 2007 and 2006 2006 2007 $ 645,000 361,000 $1,006,000 Retained earnings, January 1 Add net income for year $512,000 221,000 $733,000 Total Deduct dividends: On preferred stock On common stock $ 32,000 64,000 $ 96,000 $ 910,000 $ 24,000 64,000 $ 88,000 $645,000 Total Retained earnings, December 31 Quest Polymers, Inc. Comparative Income Statement For the Years Ended December 31, 2007 and 2006 2007 2006 $2,800,000 1,250,000 $1,550,000 $ 605,000 405,000 $1,010,000 $ 540,000 40,000 $ 580,000 79,000 $ 501,000 140,000 $ 361,000 $2,425,000 1,150,000 $1,275,000 Net sales Cost of goods sold Gross profit $ 575,000 380,000 $ 955,000 $ 320,000 30,000 $ 350,000 34,000 $ 316,000 95,000 $ 221,000 Selling expenses Administrative expenses Total operating expenses Income from operations Other income Other expense (interest) Income before income tax Income tax expense Net income