Data Table Selected balance sheet and market price data at end of current year: Assume that you are considering purchasing stock as an investment. You have narrowed the choice to either Power Corporation stock or Browse Company stock and have assembled the following data for the two companies. E: (Click the icon to view the income statement data.) : (Click the icon to view data at end of current year.) E: (Click the icon to view data at beginning of current year.) Your strategy is to invest in companies that have low price-earnings ratios but appear to be in good shape financially. Assume that you have analyzed all other factors and that your decision depends on the results of ratio analysis. Read the requirements. d. Debt ratio Select the formula and then enter the amounts to calculate the debt ratio for each company. (Enter the debt ratio in decimal form to two decl1 Data Table Power B rowse Current assets: Cash .......................$ Short-term investments ........ Current receivables, net Inventories 41,000 13,000 = Debt ratio 24,000 $ 3,000 188,000 218,000 22,000 Power Browse Selected income statement data for the current year: 165,000 182,000 8,000 Power Browse e. Times-interest-earned ratio Select the formula and then enter the amounts to calculate the times-interest-earned ratio for Browse. (Round the ratio to one decimal plad Net sales (all on credit) ........... Cost of goods sold ........... Income from operations Interest expense Net income 610,000 $ 449,000 90,000 Times-interest-earned ratio Browse f. Return on common stockholders' equity Select the formula and then enter the amounts to calculate the return on common stockholders' equity (ROE) for each company. (Complete 516,000 382,000 78,000 17,000 39,000 455,000 977,000 363,000 669,000 Prepaid expenses Total current assets Total assets Total current liabilities ............... Total liabilities Preferred stock, 10%, $175 par ....... Common stock, $1 par (115,000 shares) $5 par (10,000 shares) Total stockholders' equity ............ 409,000 928,000 337,000 713,000 35,000 61,000 115,000 Print Done ROF 50,000 215,000 308,000 Power Mecliation oncolors ASICS Browse ( i Data Table g. Earnings per share of common stock Selected balance sheet data at beginning of current year: Select the formula and then enter the amounts to calculate earnings per share (EPS) for each company. (Complete all answer boxes. If an account has a zero balance, enter a "0". Round EPS to two decimal places, X.XX.) = EPS Power (L Browse (L Power Browse h. Price-earnings ratio Select the formula and then enter the amounts to calculate the price-earnings (P/E) ratio for each company. (Enter amounts in the formula to two decimal places, X.XX, but then round the P/E ratios to one decimal place, XX, as needed.) 148,000 $ 212,000 846,000 195,000 196,000 912,000 291,000 35,000 = P/E ratio ........... Balance sheet: Current receivables, net .............$ Inventories Total assets Long-term debt Preferred stock, 10%, $175 par Common stock, $1 par (115,000 shares) $5 par (10,000 shares) Total stockholders' equity Power Browse 115,000 Which company's stock better fits your investment strategy? The common stock of seems to fit the investment strategy better. Its price-earnings ratio is and 50,000 216,000 263,000 Choose from any list or enter any number in the input fields and then continue to the next question. Data Table Selected balance sheet and market price data at end of current year: Assume that you are considering purchasing stock as an investment. You have narrowed the choice to either Power Corporation stock or Browse Company stock and have assembled the following data for the two companies. E: (Click the icon to view the income statement data.) : (Click the icon to view data at end of current year.) E: (Click the icon to view data at beginning of current year.) Your strategy is to invest in companies that have low price-earnings ratios but appear to be in good shape financially. Assume that you have analyzed all other factors and that your decision depends on the results of ratio analysis. Read the requirements. d. Debt ratio Select the formula and then enter the amounts to calculate the debt ratio for each company. (Enter the debt ratio in decimal form to two decl1 Data Table Power B rowse Current assets: Cash .......................$ Short-term investments ........ Current receivables, net Inventories 41,000 13,000 = Debt ratio 24,000 $ 3,000 188,000 218,000 22,000 Power Browse Selected income statement data for the current year: 165,000 182,000 8,000 Power Browse e. Times-interest-earned ratio Select the formula and then enter the amounts to calculate the times-interest-earned ratio for Browse. (Round the ratio to one decimal plad Net sales (all on credit) ........... Cost of goods sold ........... Income from operations Interest expense Net income 610,000 $ 449,000 90,000 Times-interest-earned ratio Browse f. Return on common stockholders' equity Select the formula and then enter the amounts to calculate the return on common stockholders' equity (ROE) for each company. (Complete 516,000 382,000 78,000 17,000 39,000 455,000 977,000 363,000 669,000 Prepaid expenses Total current assets Total assets Total current liabilities ............... Total liabilities Preferred stock, 10%, $175 par ....... Common stock, $1 par (115,000 shares) $5 par (10,000 shares) Total stockholders' equity ............ 409,000 928,000 337,000 713,000 35,000 61,000 115,000 Print Done ROF 50,000 215,000 308,000 Power Mecliation oncolors ASICS Browse ( i Data Table g. Earnings per share of common stock Selected balance sheet data at beginning of current year: Select the formula and then enter the amounts to calculate earnings per share (EPS) for each company. (Complete all answer boxes. If an account has a zero balance, enter a "0". Round EPS to two decimal places, X.XX.) = EPS Power (L Browse (L Power Browse h. Price-earnings ratio Select the formula and then enter the amounts to calculate the price-earnings (P/E) ratio for each company. (Enter amounts in the formula to two decimal places, X.XX, but then round the P/E ratios to one decimal place, XX, as needed.) 148,000 $ 212,000 846,000 195,000 196,000 912,000 291,000 35,000 = P/E ratio ........... Balance sheet: Current receivables, net .............$ Inventories Total assets Long-term debt Preferred stock, 10%, $175 par Common stock, $1 par (115,000 shares) $5 par (10,000 shares) Total stockholders' equity Power Browse 115,000 Which company's stock better fits your investment strategy? The common stock of seems to fit the investment strategy better. Its price-earnings ratio is and 50,000 216,000 263,000 Choose from any list or enter any number in the input fields and then continue to the next