Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2007, were inventory, $48,900; total assets, $189,400; common stock, $90,000; and retained earnings, $22,748.)

CABOT CORPORATION Income Statement For Year Ended December 31, 2008 Sales . . . . . . . . . . . . . . . . . . . $448,600 Cost of goods sold . . . . . . . . 297,250 Gross profit . . . . . . . . . . . . . 151,350 Operating expenses . . . . . . . . 98,600 Interest expense . . . . . . . . . . 4,100 Income before taxes . . . . . . . 48,650 Income taxes . . . . . . . . . . . . . 19,598 Net income . . . . . . . . . . . . . . $ 29,052 CABOT CORPORATION Balance Sheet December 31, 2008 Assets Liabilities and Equity Cash . . . . . . . . . . . . . . . . . . . . . . $ 10,000 Accounts payable . . . . . . . . . . . . . . . . . . $ 17,500 Short-term investments . . . . . . . . . 8,400 Accrued wages payable . . . . . . . . . . . . . . 3,200 Accounts receivable, net . . . . . . . . 29,200 Income taxes payable . . . . . . . . . . . . . . . . 3,300 Notes receivable (trade)* . . . . . . . . 4,500 Long-term note payable, secured Merchandise inventory . . . . . . . . . . 32,150 by mortgage on plant assets . . . . . . . . . 63,400 Prepaid expenses . . . . . . . . . . . . . . 2,650 Common stock . . . . . . . . . . . . . . . . . . . . 90,000 Plant assets, net . . . . . . . . . . . . . . . 153,300 Retained earnings . . . . . . . . . . . . . . . . . . 62,800 Total assets . . . . . . . . . . . . . . . . . . $240,200 Total liabilities and equity . . . . . . . . . . . . . $240,200.

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.AppendixLO1