7. value: 113 points 2016 $18,000 100 $17.900 7.600 $10,300 LOGIC COMPANY Comparative Income Statement For Years Ended December 31, 2016 and 2017 2017 Gross sales $23,000 Sales returns and allowances 800 Net sales $22,200 Cost of merchandise (goods) sold 11.000 Gross profit $ 11,200 Operating expenses. Depreciation $ 1,100 Selling and administrative 5,200 Research 950 Miscellaneous 760 Total operating expenses $ 8.010 Income before interest and taxes S 3,190 Interest expense Income before taxes $ 2.230 Provision for taxes 892 Net income $ 1.338 $ 800 4.000 700 500 960 $ 6.000 $ 4,300 700 $ 3.600 1.440 $ 2.160 6 - U O LL LOGIC COMPANY Comparative Balance Sheet December 31, 2016 and 2017 2017 2016 $ 11,500 16,000 8.000 23.500 $ 59,000 $ 8,500 12,000 13 500 9,500 $43.500 $ 14,000 $ 10,500 13,000 8,500 $ 27,000 $ 19,000 $ 86,000 $ 62,500 Assets Current assets Cash Accounts receivable Merchandise inventory Prepaid expenses Total current assets Plant and equipment: Building (net) Land Total plant and equipment Total assets Liabilities Current liabilities Accounts payable Salaries payable Total current liabilities Long-term liabilities Mortgage note payable Total liabilities Stockholders' Equity Common stock Retained earnings Total stockholders equity Total liabilities and stockholders equily $ 12,500 6,500 $ 19.000 S 6,500 4.500 S 11,000 21.500 S40.500 20.000 S 31.000 5 20.500 25.000 S 45 500 $ 86,000 S 20,500 11.000 S 31,500 $ 62.500 Calculate the asset turnover ratio (Enter your response as a decimal rounded to 2 places. 2017 2010 Asset turnover ratio References eBook & Resources