1B.

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, calculate Return on Common Equity.

Round the answers to two decimal places in percentage form.(Write the percentage sign in the "units" box).

Balance Sheet December 31, 2015

Cash and marketable securities$187,000Accounts payable$217,000Accounts receivable$498,000Notes payable$51,500Inventories$799,000Accrued expenses$58,300Prepaid expenses$19,300Total current liabilities$326,800Total current assets$1,503,300Long-term debt$215,400Gross fixed assets$1,978,000Par value and paid-in-capital$128,000Less: accumulated depreciation$478,000Retained Earnings$2,333,100Net fixed assets$1,500,000Common Equity2,461,100Total assets$3,003,300Total liabilities and owner's equity$3,003,300Income Statement, Year of 2015

Net sales (all credit)$5,386,600.00Less: Cost of goods sold$3,716,754.00Selling and administrative expenses$329,000.00Depreciation expense$138,000.00EBIT$1,202,846.00Interest expense$39,600.00Earnings before taxes$1,163,246.00Income taxes$465,298.40Net income$697,947.60

1C.

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, and using a 365-day year, calculate Average Day's Cost of Goods Sold.

Round the answers to two decimal places

Balance Sheet December 31, 2014

Cash and marketable securities$132,000Accounts payable$399,000Accounts receivable$311,000Notes payable$98,500Inventories$512,000Accrued expenses$89,300Prepaid expenses$11,300Total current liabilities$586,800Total current assets$966,300Long-term debt$799,400Gross fixed assets$2,104,000Par value and paid-in-capital$298,000Less: accumulated depreciation$398,000Retained Earnings$988,100Net fixed assets$1,706,000Common Equity1,286,100Total assets$2,672,300Total liabilities and owner's equity$2,672,300

Income Statement, Year of 2014

Net sales (all credit)$4,276,600.00Less: Cost of goods sold$3,292,982.00Selling and administrative expenses$349,000.00Depreciation expense$148,000.00EBIT$486,618.00Interest expense$49,600.00Earnings before taxes$437,018.00Income taxes$174,807.20Net income$262,210.80

1D.

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, calculate the firm's current ratio.

Round the answers to two decimal places

Balance Sheet December 31, 2014

Cash and marketable securities$132,000Accounts payable$399,000Accounts receivable$311,000Notes payable$98,500Inventories$512,000Accrued expenses$89,300Prepaid expenses$11,300Total current liabilities$586,800Total current assets$966,300Long-term debt$799,400Gross fixed assets$2,104,000Par value and paid-in-capital$298,000Less: accumulated depreciation$398,000Retained Earnings$988,100Net fixed assets$1,706,000Common Equity1,286,100Total assets$2,672,300Total liabilities and owner's equity$2,672,300

Income Statement, Year of 2014

Net sales (all credit)$4,276,600.00Less: Cost of goods sold$3,292,982.00Selling and administrative expenses$349,000.00Depreciation expense$148,000.00EBIT$486,618.00Interest expense$49,600.00Earnings before taxes$437,018.00Income taxes$174,807.20Net income$262,210.80

1E

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, calculate the firm's inventory turnover ratio.

Round the answers to two decimal places

Balance Sheet December 31, 2012

Cash and marketable securities$198,000Accounts payable$288,000Accounts receivable$469,000Notes payable$65,000Inventories$577,000Accrued expenses$84,000Prepaid expenses$15,700Total current liabilities$437,000Total current assets$1,259,700Long-term debt$237,000Gross fixed assets$1,954,000Par value and paid-in-capital$199,000Less: accumulated depreciation$476,000Retained Earnings$1,864,700Net fixed assets$1,478,000Common Equity2,063,700Total assets$2,737,700Total liabilities and owner's equity$2,737,700

Income Statement, Year of 2012

Net sales (all credit)$7,546,600.00Less: Cost of goods sold$6,112,746.00Selling and administrative expenses$349,000.00Depreciation expense$145,000.00EBIT$939,854.00Interest expense$49,500.00Earnings before taxes$890,354.00Income taxes$356,141.60Net income$534,212.40

1F

All Star Corp.'s stock price at the end of last year was $148.36. The company's earnings per share for the last year were $18.60.Calculate company's P/E ratio.

Round the answer to two decimal places.