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E13-2 (Algo) Computing and Interpreting Profitability Ratios [LO 13-4, LO 13-5] The average price of a gallon of gas in 2018 increased $0.30 (12.4 percent) from $2.42 in 2017 to $2.72 in 2018 . Let's see whether these changes are reflected in the income statement of Bronze, Incorporated for the year ended December 31,2018 (amounts in billions). Required: 1. Compute the gross profit percentage for each year. Assuming that the change from 2017 to 2018 is the beginning of a sustained trend, is Bronze likely to earn more or less gross profit from each dollar of sales in 2019? 2. Compute the net profit margin for each year. Did Bronze do a better or worse job of controlling expenses other than the costs of crude oil and products in 2018 relative to 2017. 3. Bronze reported average net fixed assets of $382 billion in 2018 and $380 billion in 2017 . Compute the fixed asset turnover ratios for both years. Did the company better utilize its investment in fixed assets to generate revenues in 2018 or 2017? 4. Bronze reported average stockholders' equity of $192 billion in 2018 and $188 billion in 2017 . The company has not issued preferred stock. Compute the return on equity ratios for both years. Did the company generate greater returns for stockholders in 2018 or 2017? Complete this question by entering your answers in the tabs below. 1-a. Compute the gross profit percentage for each year. (Round percentage values to 1 decimal place.) 1-b. Assuming that the change from 2017 to 2018 is the beginning of a sustained trend, is Bronze likely to earn more or less gross profit from each dollar of sales in 2019? Complete this question by entering your answers in the tabs below. 2-a. Compute the net profit margin for each year. (Round percentage values to 1 decimal place.) 2-b. Did Bronze do a better or worse job of controlling expenses other than the costs of crude oil and products in 2018 relative to 2017 . Complete this question by entering your answers in the tabs below. 3-a. Bronze reported average net fixed assets of $382 billion in 2018 and $380 billion in 2017. Compute the fixed asset turnover ratios for both years. (Round your answers to 2 decimal places.) 3-b. Did the company better utilize its investment in fixed assets to generate revenues in 2018 or 2017 ? 4-a. Bronze reported average stockholders' equity of $192 billion in 2018 and $188 billion in 2017 . The company has not issued preferred stock. Compute the return on equity ratios for both years. (Round percentage values to 1 decimal place.) 4-b. Did the company generate greater returns for stockholders in 2018 or 2017