Financial statements for Solomon Company follow. oulal curterik diabidities Noncurrent liabilities Bonds payable other Total noncurrent liabilities Total liabilities Stockholders' equity Preferred stock, (par value 510,4% cumulative, non-participating; 9, 000 shares authorized and issued) Common stock (no par; 50,000 shares authorized; 10,000 shares is sued) Retained earnings Total stockholders" equity Total Iiabilities and stockholders' equity 90,00090,000316,200136,200$512,400302,50090,000122,50090,000 SOLOMON CORPANY Statements of Income and Retained Earnings For the Years Ended December 31 Revenues Sales (net) other revenues Total revenues Expenses Cost of goods sold Selling, general, and adninistrative Interest expense Income tax expense Vear 4 5370,00010,800380,800 185,860 Year 3 5350,0007,800357,800145,00064,00011,40092,000 Required Calculate the following ratios for Year 4 and Year 3 . 3. Working capital. b. Current ratio. (Round your answers to 2 decimal places.) c. Quick ratio. (Round your answers to 2 decimal places.) d. Receivables turnover (beginning receivables at January 1, Year 3, were $48,000 ). (Round your answers to 2 decimal places.) e. Average days to collect accounts receivable. (Use 365 days in a year. Round your intermediate calculations to 2 decimal places and your final answers to the nearest whole number.) 8. Inventory turnover (beginning inventory at January 1, Year 3, was $154,000 ). (Round your answers to 2 decimal places.) 9. Number of days to sell inventory. (Use 365 days in a year. Round your intermediate calculations to 2 decimal places and your final answers to the nearest whole number.) h. Debt-to-assets ratio, (Round your answers to the nearest whole percent.) 1. Debt-to-equity ratio. (Round your answers to 2 decimal places.) 1. Number of times interest was earned. (Round your answers to 2 decimal places.) k. Plant assets to long-term debt. (Round your answers to 2 decimal places.) 1. Net margin. (Round your answers to 2 decimal places.) m. Turnover of assets (average total assets in Year 3 is $552,400 ). (Round your answers to 2 decimal places.) n. Return on investment (averane totalassets in Year 3 is $552400 (Round your answers to 2 decimal places) o. Return on equity (average stockholders' equity in Year 3 is $302,500 ). (Round your answers to 2 decimal places.) p. Earnings per share (total shares outstanding is unchanged). (Round your answers to 2 decimal places.) 9. Book value per share of common stock. (Round your answers to 2 decimal places.) Frice-eamings ratio (market price per share: Year 3,$12,45; Year 4,$13,90 ). (Round your intermediate calculations and final answer 2 decimal places.) 5. Dividend yield on common stock. (Round your answers to 2 decimal places.)
