Comparative financial statement data of Tanfield, Inc., follow: (Click the icon to view the income statements.) (Click the icon to view the balance sheets.) Market price of Tanfield's common stock: $43.51 at December 31, 2020, and $31.36 at December 31, 2019 Common shares outstanding: 11,000,000 during 2020 and 11,000,000 during 2019 1. 2. 3. All sales are credit sales Read the requirements. Requirement 1. Compute the following ratios for zuzu and 2019. (Kouno an ratios to two decimal places.) a. Current ratio 2020 2019 2020 2019 b. Times-interest-earned ratio 2020 2019 Comparative financial statement data of Tanfield, Inc., follow (Click the icon to view the income statements.) (Click the icon to view the balance sheets.) Market price of Tanfield's common stock: $43.51 at December 31, 2020, and $31.36 at December 31, 2019 Common shares outstanding: 11,000,000 during 2020 and 11,000,000 during 2019 1. 2. 3. All sales are credit sales Read the requirements c. Inventory turnover d. Operating income percentage 2020 2019 2020 2019 e. Return on common stockholders' equity 2020 2019 1. Earnings per share of common stock 2020 2019 9. Price/earnings ratio Requirement 2. Decide (a) whether Tanfield's ability to pay debts and to sell inventory improved or deteriorated during 2020 and (b) whether the investment attractiveness of its common stock appears to have increased or de during 2020 a. Tanfield's ability to pay its debts and to sell inventory f Tanfield's common stock appears to have Income statements Tanfield, Inc. B C Comparative Income Statements A 1 2 3 4 5 For the Years Ended December 31, 2020 and 2019 (amounts in thousands) 2020 2019 6 Sales revenues $ 445,910 $ 425,080 7 Less: Cost of goods sold 236,000 224,000 8 Gross profit $ 209,910 $ 201,080 9 Less: Operating expenses 132,000 128,000 10 Operating income 77,910 $ 73,080 11 Less: Interest expense 10,600 11,600 12 Income before income taxes $ EA 67,310 $ 61,480 13 Less: Income tax expense 18,860 19,630 14 Net income $ 48,450 $ 41,850 Balance sheets A 1 2 3 4 5 6 7 Current assets: B C D Tanfield, Inc. Comparative Balance Sheets December 31, 2020 and 2019 (amounts in thousands) Assets 2020 2019 2018* 8 Cash $ 98,000 $ 99,000 9 Accounts receivable 118,500 114,500 $ 103,500 10 Inventory 132,000 163,000 $ 157,000 11 Prepaid expenses 13,500 8,500 12 Total current assets 13 Property, plant, and equipment, net 14 Total assets $ 362,000 $ 385,000 205,000 174,000 $ 567,000 $ 559,000 15 Liabilities 16 Current liabilities $200,000 $220,000 Balance sheets 9 Accounts receivable 118,500 114,500 $ 103,500 10 Inventory 132,000 163,000 $157,000 11 Prepaid expenses 12 Total current assets 13,500 8,500 13 Property, plant, and equipment, net 14 Total assets $ 362,000 $ 385,000 205,000 174,000 $ 567,000 $ 559,000 15 Liabilities 16 Current liabilities 17 Long-term liabilities $200,000 $220,000 139,000 157,000 $ 339,000 $377,000 18 Total liabilities 19 Stockholders' equity 20 Preferred stock, 7% $ 21 Total common stockholders' equity 95,000 $ 133,000 95,000 87,000 $133,000 22 Total stockholders' equity $ 228,000 $ 182,000 23 24 Total liabilities and equity 25 "Selected 2018 amounts $ 567,000 $ 559,000