A22-10 Compute and Explain Profitability Ratios: The 20X5 comparative financial statements for Thompson Corporation reported the following selected information: 20X3 20X4 20X5 Sales revenue Net income Interest expense, long-term debt Income tax expense Long-term debt Shareholders' equity, common $18,000,000 $19,500,000 $20,250,000 142,500 27,000 90,000 1,200,000 1,500,000 1,650,000 150,000 15,000 60,000 180,000 18,000 90,000 and preferred* Total assets Preferred share dividends Income tax rate 2,100,000 2,175,000 2,190,000 5,250,000 5,250,000 5,700,000 18,000 40% 15,000 35% 9,000 *Preferred shares, $150,000 in all years