9 13 points Print Pinnacle Plus declared and paid a cash dividend of $6,600 in the current year. Its comparative financial statements, prepared at December 31, reported the following summarized information: Income Statement Sales Revenue Cost of Goods Sold Gross Profit Interest Expense Income Tax Expense (30%) Net Income Balance Sheet Cash Current Year Previous Year 4,200 $9,800 $ 38,000 12,000 38,000 105,000 5 110,000 $ 99,000 $2,000 48,000 58,000 51,000 Operating Expenses 36,000 33,000 flook 4,000 4,000 Incone before Income Tax Expense, 18,000 14,000 5,400 $ 12,600 $ 69,500 Accounts Receivable, Net Inventory 17,000 25,000 References Total Assets Property and Equipment, Net Accounts Payable Income Tax Payable Notes Payable (long-ters) Total Liabilities Common Stock (par $10) Retained Earnings Total Liabilities and Stockholders' Equity Required: 95,000 $206,500 $193,000 $ 42,000 $35,000 1,000 500 40,000 40,000 83,000 75,500 98,000 90,000 33,500 $ 206,500 27,500 $193,000 molumar.results better or worse, than those for 13 Accounts Payable Income Tax Payable Notes Payable (long-term) Total Liabilities Common Stock (par $10) Retained Earnings point Total Liabilities and Stockholders' Equity Required: 142,000 $35,000 1,000 500 40,000 40,000 3,000 75,500 50,000 50,000 33,500 $206,500 27,500 1193,000 0 Pin References 1. Compute the gross profit percentage in the current and previous years. Are the current-year results better, or worse, than those for the previous year? 2. Compute the net profit margin for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 3. Compute the earnings per share for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 4. Stockholders' equity totaled $100.000 at the beginning of the previous year. Compute the return on equity (ROE) ratios for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 5. Net property and equipment totaled $110,000 at the beginning of the previous year. Compute the fixed asset turnover ratios for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 6. Compute the debt-to-assets ratios for the current and previous years is debt providing financing for a larger or smaller proportion of the company's asset growth? 7. Compute the times interest earned ratios for the current and previous years. Are the current-year results better or worse, than those for the previous year? 8. After Pinnacle Plus released its current year's financial statements, the company's stock was trading at $18. After the release of its previous year's financial statements, the company's stock price was $15 per share. Compute the P/E ratios for both years. Does it appear that investors have become more (or less) optimistic about Pinnacle's future success? Complete this question by entering your answers in the tabs below