The following are comparative data for Sunshine State Equipment, Inc., for the 3-year period 20092011. Instructions: 1. From the foregoing data, calculate financial ratios for

The following are comparative data for Sunshine State Equipment, Inc., for the 3-year period 2009–2011.

Instructions:
1. From the foregoing data, calculate financial ratios for the three years 2009–2011 as follows (for all ratios using balance sheet amounts, use the end-of-year balance):
(a) Return on equity
(b) Return on sales
(c) Asset turnover
(d) Assets-to-equity ratio
(e) Return on assets
(f) Current ratio
(g) Dividend payout ratio
2. Based on the ratios calculated in (1), evaluate Sunshine State Equipment, Inc., in 2011 as compared with2010.

Income Statement Data 2011 2010 2009 Net sales Cost of goods sold Gross profit on sales Selling, general, and other expenses Income before taxes Income taxes Net income Dividends paid SI,400,000 $1,100,000 i,220,000 610.000 760,000 600,000 $ 640,000 500,000 280,000 610,000 250,000 340,000 300,000 220,000 360,000 152,000 20,000 89,000 $ 180,000 131,000 150,000 208,000 208.000 155,000 Net increase (decrease) in retained earnings .. $ 25,000 (19.000) $ Balance Sheet Data 2011 2010 2009 $ 50,000 40,000 320,000 420,000 0,000 600,000 00,000 0,000 75,000 250,000 350,000 40.000 690,000 25,000 20,000 Accounts receivable (net) Prepaid expenses Land, buildings, and equipment (net) Intangible assets Other assets 300,000 380,000 30.000 760,000 110,000 70,000 $1,700,000 $1,500,000 $1,550,000 Liabilities and Stockholders' Equity Accounts payable Wages, interest, and dividends payable Income tax payable Miscellaneous current liabilities 8% bonds payable Defrdvenues ong term) No-par common stock, $10 stated value Additional paid-in capital Retained earnings 120,000 $ 185,000 $ 220,000 25,000 30.000 10,000 250,000 25,000 400,000 400,000 190,000 $1,700,000 $1,500,000 $1.550.000 25,000 29.000 0,000 300,000 0,000 500,000 510,000 196,000 25,000 5,000 4,000 300,000 0,000 400,000 400,000 171,000