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a) What is the firms 2014 current ratio? Round your answer to two decimal places. b)What is the firms 2014 total assets turnover ratio? Round

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a) What is the firms 2014 current ratio? Round your answer to two decimal places.

b)What is the firms 2014 total assets turnover ratio? Round your answer to four decimal places.

c)Given the 2014 current and total assets turnover ratios calculated above, if Rosnans 2014 quick ratio is 1.0 then an analyst might conclude that Rosnans fixed assets are managed

d)What is the firms 2014 debt-to-capital ratio? Round your answer to two decimal places.

e)What is the firms 2014 debt-to-capital ratio? Round your answer to two decimal places.

f) Using the DuPont equation, what is the firms 2014 ROE? Round your answer to two decimal places.

Balance Sheets: 2014 2013 Cash and equivalents Accounts receivable Inventories $60 275 375 $710 2,000 2,710 $45 300 350 $695 1,490 $2,185 Total current assets Net plant and equipment Total assets $150 75 110 $335 450 1,225 700 $2,710 Accounts payable Accruals Notes payable $85 50 135 $270 290 1,225 400 $2,185 Total current liabilities Long-term debt Common stock Retained earnings Total liabilities and equity Income Statements: 2014 2013 Sales Operating costs excluding depreciation EBITDA Depreciation and amortization EBIT Interest EBT Taxes (40%) Net income $2,000 1,250 $750 100 $650 62 $588 235 $353 $1,500 1,000 $500 75 $425 45 $380 152 $228 Dividends paid Addition to retained earnings $53 $300 $48 $180 Shares outstanding Price WACC 100 $25.00 10.00% 100 $22.50

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