4 4 points Problem 13-4A (Algo) Calculating financial statement ratios LO P3 Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory, $50,900; total assets, $199,400; common stock, $81,000; and retained earnings, $48,724.) eBook Print Assets Cash Short-term investments Accounts receivable, net CABOT CORPORATION Balance Sheet December 31 of current year Liabilities and Equity $16,000 Accounts payable Accrued wages payable Merchandise inventory Prepaid expenses Plant assets, net References Total assets CABOT CORPORATION 8,200 30,600 Income taxes payable 40,150 3,050 Long-term note payable, secured by mortgage on plant assets Common stock 153,300 Retained earnings 251,300 Total liabilities and equity Income Statement For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses $ 454,600 297,150 157,450 99,100 4,300 $ 18,500 4,400 3,000 63,400 81,000 81,000 $ 251,300 Interest expense Income before taxes Income tax expense Net income Required: 54,050 21,774 $ 32,276 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 equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the current ratio and acid-test ratio. (1) Numerator: 1 (2) Numerator: 1 1 Current Ratio Denominator: Current Ratio = Current ratio = to 1 Acid-Test Ratio Denominator: Acid-Test Ratio = Acid-Test Ratio to 1 < Req 1 and 2 Req 3 >