Ch 14 Exercises Six Measures of Solvency or Profitability The following data were taken from the financial statements of Gates Inc. for the current fiscal year. Property, plant, and equipment (net) $3,200,000 Llabilities: Current liabilities Note payable, 6%, due in 15 years $1,000,000 2,000,000 Total liabilities $3,000,000 Natalie V Stockholders' equity: Preferred $10 stock, $100 par (no change during year) Common stock, $10 par (no change during year) Retained earnings: Balance, beginning of year $1,000,000 2,000,000 Net Income Preferred dividends Common dividends Balance, end of year Total stockholders' equity $1,570,000 930,000 (100,000) (400,000) 2,000,000 $5.000.000 Sales $18.900.000 Interest expense $100,000 ps Facebook Gmail Activity - NIACC Maps eggdog among us... YouTube S (544) 714 Exercises Common dividends (400,000) 2,000,000 Balance, end of year Total stockholders' equity $5,000,000 Sales $18,900,000 Interest expense $120,000 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. Round to one decimal place. a. Ratio of fixed assets to long-term Habilities 1.6 b. Ratio of liabilities to stockholders' equity 0.6 C. Asset turnover 4.0 X d. Return on total assets 21.9 X % e. Return on stockholders equity 19.4 % f. Return on common stockholders equity 17.3 X 9 a. Divide property, plant and equipment (net) by long-term liabilities. Divids total liabilities by total stockholders'equity. c. Orvide talet by average total excluding long-term investments. Average totalassos nina tilts Ending totalt 2 To find ending total assets use the accounting (Previous All work saved