Comprehensive Analysis for Deer & Co Mining Services (One question with concatenated portions which need to be answered for the entire inferential analysis)

You are interested in comparing Deer & Co with Raven Industries, a competitor based out of South Dakota which uses FIFO for all of its inventory. Assume that Deer & Co faces a marginal tax rate of 20% (and always has, and always will) and that any additional taxes owed/saved would show up in Other current liabilities. If Deer & Co had always used FIFO for all of its inventories, what would have been:

1. Deer & Cos gross margin for sales of products (defined as [sales of machinery, energy and transportation minus cost of goods sold] divided by [sales of machinery, energy and transportation]) for the year ended December 31, 2021? Express your answer to two decimal places (i.e., 12.34% rather than 12%). __________

2. Deer & Cos Financial Leverage Ratio (defined as Ending Total Assets divided by Ending Total shareholders equity) as of December 31, 2021? Express your answer to two decimal places (i.e., 1.23 rather than 1.2). __________

Income Statement

Balance Sheet

SE

(") rroint atributavie to common snarenoiders See accompanying notes to Consolidated Financial Statements Consolidated Financial Position at December 31 (Dollars in millions) \begin{tabular}{ll} 2021 & 2020 \\ \hline \end{tabular} Assets Current assets: Cash and cash equivalents Receivables - trade and other Receivables - finance Prepaid expenses and other current assets Inventories Total current assets Property, plant and equipment - net Long-term receivables - trade and other Long-term receivables - finance Deferred income taxes Intangible assets Goodwill Other assets Total assets Liabilities Current liabilities: Short-term borrowings: Machinery, Energy \& Transportation Financial Products Accounts payable Accrued expenses Accrued wages, salaries and employee benefits Customer advances Dividends payable Other current liabilities $9,2549,352 Long-term debt due within one year: Machinery, Energy \& Transportation Financial Products Total current liabilities Long-term debt due after one year: Machinery, Energy \& Transportation Financial Products Liability for postemployment benefits Other liabilities Total liabilities Commitments and contingencies (Notes 21 and 22) \begin{tabular}{rr} 45 & 1,420 \\ 6,307 & 7,729 \\ \hline 29,847 & 25,717 \end{tabular} Shareholders' equity Common stock of $1.00 par value: Authorized shares: 2,000,000,000 Issued shares: (2021 and 2020-814,894,624 shares) at paid-in amount Treasury stock: (2021 - 279,006,573 shares; and 2020 269,590,777 shares) at cost Profit employed in the business (*) Accumulated other comprehensive income (loss) Noncontrolling interests Total shareholders' equity Total liabilities and shareholders' equity \begin{tabular}{cc} \hline \hline(27,643) & (25,178) \\ 39,282 & 35,167 \\ (1,553) & (888) \\ \hline 32 & 47 \\ \hline 16,516 & 15,378 \\ \hline$82.793 & $78.324 \\ \hline \end{tabular} See accompanying notes to Consolidated Financial Statements