713 Chapter 14 Financial Statement Analysis EX 14-19 Six measures of solvency or profitability Obj. 4, 5 The following data were taken from the financial statements of Gates Inc. for the current fiscal year nover, 4.2 3,200,000 Property, plant, and equipment (net) Liabilities: $1,000,000 2,000,000 Note payable, 6%, due in 15years 3,000,000 Stockholders' equity: Preferred $10 stock, $100 par (no change during year)... Common stock, $10 par (no change during year).. .. . . 1,000,000 2,000,000 Retained earnings: $1,570,000 Balance, beginning of year Preferred dividends Common dividends . Balance, end of year 930,000 $2,500,000 . 100,000 400,000 500,000 2,000,000 $5,000,000 $18,900,000 S 120,000 .. . . Total stockholders' equity Sales .. Assuming that long-term investments totaled $3,000,000 throughout the year and that total assets were $7,000,000 at the beginning of the current fiscal year, determine the following: (A) ratio of fixed assets to long-term liabilities, (B) ratio of liabilities to stockholders' equity, (C) asset turnover, (D) return on total assets, (E) return on stockholders' equity, and (F) return on com- mon stockholders' equity. (Round ratios and percentages to one decimal place as appropriate.)