The comparative statements of Magic Johnson Company are presented here:

On July 1, 1998, 4,000 shares were repurchased and canceled. All sales were on account.Net cash provided by operating activities for 1998 was \(\$ 280,000\).

InstructionsCompute the following ratios for 1998 :

(a) Earnings per share

(c) Return on assets

(b) Return on common stockholders' equity

(d) Current

(e) Acid-test(k) Asset turnover

(f) Receivables turnover(g) Average collection period(h) Inventory turnover(i) Average days in inventory(j) Times interest earned(l) Debt to total assets(m) Current cash debt coverage(n) Cash return on sales(o) Cash debt coverage

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MAGIC JOHNSON COMPANY Income Statement For the Years Ended December 31 1998 1997 Net sales $1,818,500 $1,750,500 Cost of goods sold 1,005,500 996,000 Gross profit 813,000 754,500 Selling and administrative expenses 506,000 479,000 Income from operations 307,000 275,500 Other expenses and losses Interest expense 18,000 19,000 Income before income taxes Income tax expense Net income 289,000 256,500 86,700 77,000 $ 202,300 $ 179,500