Comparative financial statement data of Regan Optical Mart follow: (Click on the icon to view the income statements.) ) (Click on the icon to view the balance sheets.) Other information: 1. Market price of Regan Optical Mart common stock: $153.00 at December 31, 2018, and $221.00 at December 31, 2017 2. Common shares outstanding: 11,000 during 2018 and 6,000 during 2017 3 All sales on credit 4. Cash dividends paid per share: $0.05 in 2018 and $0.30 in 2017 Read the requirements e. Accounts payable turnover and days' payable outstanding (DPO)-use cost of goods sold in the numerator of the turnover ratio and round DPO to the nearest whole day Begin by selecting the formula and then enter the amounts to calculate the accounts payable turnover for 2018 and 2017. (Round the ratios to two decimal places, X.XX.) Cost of goods sold 1 Average accounts payable = Accounts payable turnover 2018 $ 374,000 1 S 126,000 2.97 2017 $ 281,000 /S 115,000 2.44 Now select the formula and enter the amounts to calculate days' payable outanding (DPO) (round to the nearest whole day) (Enter formula ratios to two decimal places, X.XX. Use a 365-day year and round the DPO to the nearest whole day, X.) Days in year 1 Accounts payable turnover Days payable outstanding (DPO) 2018 365 1 2.97 123 2017 365 2.44 = 150 f. Cash conversion cycle (in days) DIO + DSO DPO Cash conversion cycle - 2018 281 99 123 257 2017 304 88 150 = 242 g. Times-interest-earned ratio g- Select the formula and then enter the amounts to calculate the times-interest-earned ratio for 2018 and 2017. (Round the ratios to one decimal place, X.X.) - Times-interest-earned ratio 2018 = 2017 Regan Optical Mart Comparative Balance Sheets Regan Optical Mart Comparative Income Statements December 31, 2018 and 2017 2018 2017 2016" Years Ended December 31, 2018 and 2017 2018 2017 Current assets: Net sales $ 677,000 $ 610,000 Cash $ 46,000 $ 48,000 374,000 281,000 Current receivables, net 211,000 155,000 $ 140,000 Cost of goods sold Inventories 291,000 286,000 181,000 Gross profit 303,000 329,000 13,000 21,000 133,000 148.000 Prepaid expenses Operating expenses Total current assets 561,000 510,000 Income from operations 170,000 181,000 289,000 275,000 34,000 Interest expense 50,000 Property, plant, and equipment, net $ 850,000 $ 785,000 Income before income tax 136,000 131,000 Total assets 708,000 37,000 53,000 Income tax expense $ 99,000 $ 78,000 Accounts payable $ 140,000 $ 112,000 118,000 Net income 142.000 172,000 Other current liabilties Total current liabilities 282,000 284,000 Print Done Long-term liabilities 242,000 236,000 Total liabilities 524,000 520,000 Common stockholders' equity, no par 326,000 265,000 190,000 $ 850,000 $ 785,000 Total liabilities and stockholders' equity Selected 2016 amounts. g. Times-interest-earned ratio h. Return on assets-use DuPont Analysis i. Return on common stockholders' equity-use DuPont Analysis j. Earnings per share of common stock k. Price-earnings ratio 2. Decide whether (a) Regan Optical Mart's financial position improved or deteriorated during 2018 and (b) the investment attractiveness of the company's common stock appears to have increased or decreased from 2017 to 2018 3. How will what you learned in this problem help you evaluate an investment