Exhibit 13-1

Xavier Company reported the following income statement and balance sheet amounts on December 31, 2017.

	2017	2016
Net sales revenue (all credit)	$1,700,000
Cost of goods sold	1,040,000
Gross margin	660,000
Selling and general expenses	420,000
Interest expense	60,000
Net income	$ 180,000
Current assets	$ 100,000	$ 90,000
Long-term assets	830,000	800,000
Total assets	$930,000	$890,000
Current liabilities	$ 72,000	$ 56,000
Long-term liabilities	204,000	390,000
Common stockholders equity	654,000	444,000
Total liabilities and stockholders' equity	$930,000	$890,000

Inventory and prepaid expenses account for $50,000 of the 2017 current assets.

Average inventory for 2017 is $36,000.

Average net accounts receivable for 2017 is $62,000.

Average one-day sales are $5,900.

There are 12,000 shares of common stock outstanding at the end of 2017.

The market price per share of common stock is $27 at the end of 2017.

The EPS for 2017 is equal to $1.50 per share.

68.Refer to Exhibit 13-1. What is the gross margin ratio for 2017 (rounded to the nearest tenth of a percent)?

a. 10.6

b. 63.5%

c. 27.3%

d. 38.8 %

e. None of the answer choices is correct.

69. Refer to Exhibit 13-1. What is the profit margin ratio for 2017 (rounded to the nearest tenth of a percent)?

a. 10.6%

b. 1.1%

c. 27.3%

d. 38.8%

e. None of the answer choices is correct.

70. Refer to Exhibit 13-1. What is the return on assets for 2017 (rounded to the nearest tenth of a percent)?

a. 19.4%

b. 51.7%

c. 19.8%

d. 197.8%

e. None of the answer choices is correct.

71.Refer to Exhibit 13-1. What is the current ratio for 2017 (rounded to two decimal places)?

a. 1.80

b. 0.72

c. 1.44

d. 1.39

e. None of the answer choices is correct.