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Financial Statement Analysis Case (Part Level Submission Indigo, Inc., a drug company, reported the following information. The company prepares its financial statements in accordance with
Financial Statement Analysis Case (Part Level Submission Indigo, Inc., a drug company, reported the following information. The company prepares its financial statements in accordance with GAAP Current liabilities Convertible subordinated debt Total liabilities Stockholders' equity Net income 2017 (,oo0) $555,027 648,853 1,228,576 175,953 58,833 Analysts attempting to compare Indigo to drug companies that issue debt with detachable warrants may face a challenge due to differences in accounting for convertible debt. Compute the following ratios for Indigo, Inc. (Assume that year-end balances approximate annual averages.) (Round answers to 2 decimal places, eg. 52.75%.) (1) Return on assets. (2) Return on common stock equity. (3) Debt to assets ratio. Click if you would like to Show Work for this question: Open Show Work
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