Data Table Carlton Optical Mart Comparative Income Statements Years Ended December 31, 2018 and 2017 2018 2017 Net sales $ 690,000 $ 590,000 377,000 277,000 Cost of goods sold Gross profit 313,000 313,000 127,000 141.000 Operating expenses Income from operations 186,000 172,000 38,000 43,000 Interest expense Income before income tax 148,000 129,000 38,000 49,000 Income tax expense $ 110,000 $ 80,000 Net income Print Done i Data Table - X 2018 2017 2016* Current assets: Cash $ Current receivables, net Inventories 46,000 $ 211,000 296,000 13,000 49,000 153,000 $ 140,000 288,000 180,000 24,000 Prepaid expenses Total current assets 566,000 285,000 514,000 272,000 Property, plant, and equipment, net $ 851,000 $ 786,000 Total assets 702,000 Accounts payable $ 114,000 130,000 $ 124,000 96,000 199,000 Other current liabilties Total current liabilities Long-term liabilities Total liabilities 254,000 295,000 242,000 230,000 496,000 525,000 355.000 261,000 $ 851,000 $ 786,000 198.000 Common stockholders' equity, no par Total liabilities and stockholders' equity Print Done Requirements 1. Calculate the following ratios for 2018 and 2017: a. Current ratio b. Quick (acid-test) ratio c. Receivables turnover and days' sales oustanding (DSO)-round to the nearest whole day d. Inventory turnover and days' inventory outanding (DIO)-round to the nearest whole day 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 f. Cash conversion cycle (in days) 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) Carlton 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? Print Done Requirement 1. Calculate the ratios for 2018 and 2017. (Abbreviations used: Avg = average and o/s = outstanding.) a. Current ratio Select the formula and then enter the amounts to calculate the current ratio for 2018 and 2017. (Round the ratios to two decimal places, X.XX.) Current ratio 2018 2017 b. Quick (acid-test) ratio Select the formula and then enter the amounts to calculate the quick (acid-test) ratio for 2018 and 2017. (Round the ratios to two decimal places, X.XX.) ] = Quick (acid-test) ratio 2018 ( 2017 ( c. Receivables turnover and days' sales oustanding (DSO)round to the nearest whole day Begin by selecting the formula and then enter the amounts to calculate receivables turnover for 2018 and 2017. (Round the ratios to two decimal places, X.XX.) = Accounts receivable turnover 2018 2017 Now select the formula and enter the amounts to calculate days' sales oustanding (DSO) (round to the nearest whole day). (Enter formula ratios to two decimal places, X.XX. Use a 365-day year and round the DSO to the nearest whole day, X.) = Days' sales outstanding (DSO) 2018 2017 d. Inventory turnover and days' inventory outanding (DIO)-round to the nearest whole day Begin by selecting the formula and then enter the amounts to calculate the inventory turnover for 2018 and 2017. (Round the ratios to two decimal places, X.XX.) = Inventory turnover 2018 2017 Now select the formula and enter the amounts to calculate days' inventory outanding (DIO) (round to the nearest whole day). (Enter formula ratios to two decimal places, X.XX. Use a 365-day year = Days' inventory outstanding (DIO) 2018 2017 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, XXX.) = Accounts payable turnover 2018 2017 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 = Days payable outstanding (DPO) 2018 2017 f. Cash conversion cycle (in days) = Cash conversion cycle + 2018 2017 + g. Times-interest-earned ratio 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 h. Return on assets-use DuPont Analysis Select the formula and then enter the amounts to calculate the return on assets (ROA) for 2018 and 2017. (Round percentages to the nearest one-tenth percent, X.X%, and other comp ROA 2018 2017 i. Return on common stockholders' equity-use DuPont Analysis Select the formula and then enter the amounts to calculate the return on common stockholders' equity (ROE) for 2018 and 2017. (Round percentages to the nearest one-tenth percent, = ROE 2018 2017 j. Earnings per share of common stock Select the formula and then enter the amounts to calculate earnings per share (EPS) for 2018 and 2017. (Complete all answer boxes. For zero amounts, enter"0" in the appropriate cell = EPS 2018 2017 (