5. Refer to the following information from Mohawk Industries, Inc. Estimate the average useful life that Mohawk is using for its property, plant, and equipment for 2015 (round to the nearest whole number) Consolidated Statements of Operations- USD (S) 12 Months Ended a. 15 years. b. 10 years. e. 7 years Dec. 31, 2014 shares in Thousands, S in Thousands Income Statement [Abstract] Net sales Cost of sales Gross profit Selling, general and administrative Dec. 31, 2015 d. 15 times. e. 7 times. S 8,071,563 5,660,877 2,410,686 S 7,803,446 5.649,254 2,154,192 6. What ratio would you use to provide the best information about how soon Mohawk might need to make significant capital expenditures to replace existing property, plant, and equipment? Operating income Interest expense Other expense Earnings from continuing operations before income taxes Income tax expense Earnings from continuing operations 1573,1201,381,396 772796 98,207 10,698 663,891 131,637 532 254 837.566 71,086 17,619 748,861 131,875 616,986 a. PPE turnover b. Percent used up. c. Estimated useful life. d. Total asset turnover e. Cash conversion cyele 12 Months Ended Dec. 31, 2015 Property, Plant and Equipment Following is a summary of property, plant and equipment December 31 December 3 2015 2014 Land 305,943 294,553 977,411 3,750,787 3,324,657 121,147 63,985 03,500 348,460 5,783,257 5,130,213 2,636,139 2,427,003 S 3,147,11 2,703,210 1,120,193 Furniture and fixtures Leasehold improvements Construction in progress 133,857 68,977 Less accumulated depreciation and amortization Net property, plant and equipment Additions to property, plant and equipment included capitalized interest of $7,091, $9,202 and SS,167 in 2015, 2014 and 2013, respectively. Depreciation expense was S328,486, S315,840 and $276,432 for 2015, 2014 and 2013, respectively. Included in the property, plant and equipment are capital leases with a cost of $8,233 and $5,477 and aceumulated depreciation of $4,431 and $5,313 as of December 31, 2015 and 2014, respectively