[CH3-10] Please help with this homework. Prof. has provided the Answer Key. But, she wants us to show step-by-step solutions using Excel functions/formulas. Thanks.

GIVEN:

Chris Guthrie was recently hired by S&S Air, Inc., to assist the company with its financial planning and to evaluate the company's performance. Chris graduated from college five years ago with a finance degree. Since then, he has been employed in the finance department of a Fortune 500 company.

S&S Air was founded 10 years ago by friends Mark Sexton and Todd Story. The company has manufactured and sold light airplanes over this period, and the company's products have received high reviews for safety and reliability. The company has a niche market in that it sells primarily to individuals who own and fly their own airplanes. The company has two models: the Birdie, which sells for $103,000, and the Eagle, which sells for $178,000.

S&S AIR, INC. 2021 Income Statement Sales $37,038,492 Cost of goods sold 27,629,530 Other expenses 4,696,692 Depreciation 1,659,882 EBIT $ 3,052,388 Interest 580,078 Taxable income $ 2,472,310 Taxes (25%) 618,078 Net income $ 1,854,232 Dividends $ 565,000 Add to retained earnings 1,289,2325&5 AIR, INC. 2021 BALANCE SHEET Liabilities and Equity Current assets Current liabilities Cash $ 419,970 Accounts payable $ 854,685 Accounts receivable 674,475 Notes payable 1,951,642 Inventory 988,129 Total current liabilities $ 2,806,327 Total current assets $ 2,082,574 Longterm debt $ 5,100,000 Fixed assets Net plant and equipment $16,305,556 Shareholder equity Common stock $ 410,000 Retained earnings 10,071,803 Total equity $10,481,803 Total assets $18,388,130 Total liabilities and equity $18,388,130 Light Airplane Industry Ratios Lower Quartile Upper Quartile Current ratio .50 1.43 1.89 Quick ratio .21 .35 .62 Cash ratio .08 .21 .39 Total asset turnover .68 .85 1.38 Inventory turnover 4.89 6.15 10.89 Receivables turnover 6.27 9.82 14.11 Total debt ratio .41 .52 .61 Debtequity ratio .68 1.08 1.56 Equity multiplier 1.68 2.08 2.56 Times interest earned 5.18 8.06 9.83 Cash coverage ratio 5.84 9.41 10.2? Profit margin 4.05% 5.10% 7.15% Return on assets 6.05% 9.53% 13.21% Return on equity 9.93% 15.14% 19.15%