I obviously am stuck with the ones in Red..

Please help..

Thanks

Problem 9-4 The following financial information is for Wildhorse Company. WILDHORSE COMPANY Balance Sheets December 31 Assets 2017 2016 Cash $ 70,000 $ 68,000 Debt investments (short-term) 51,000 40,000 Accounts receivable 109,000 91,000 Inventory 231,000 167,000 Prepaid expenses 27,000 26,000 Land 134,000 134,000 Building and equipment (net) 264,000 186,000 Total assets $885,000 $712,000 Liabilities and Stockholders' Equity Notes payable $171,000 $109,000 Accounts payable 67,000 53,000 Accrued liabilities 41,000 41,000 Bonds payable, due 2020 250,000 170,000 Common stock, $10 par 206,000 206,000 Retained earnings 151,000 133,000 Total liabilities and stockholders' equity 5886,000 $712,000 WILDHORSE COMPANY Income Statements For the Years Ended December 31 2017 2016 Sales revenue $899,000 5798,000 Cost of goods sold 650,000 575,000 Gross profit 249,000 223,000 Operating expenses 192,000 168,000 Net income $ 57,000 $ 55,000 Additional information: 1. Inventory at the beginning of 2016 was $117,000. 2. Accounts receivable (net) at the beginning of 2016 were $90,000. 3. Total assets at the beginning of 2016 were $634,000. 4. No common stock transactions occurred during 2016 or 2017. 5. All sales were on account. Your answer is partially correct. Try again. Compute the liquidity and profitability ratios of Wildhorse Company for 2016 and 2017. (Round current ratio, earnings per share and asset turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 1.8%. If % change is a decrease show the numbers as negative, e.g. -1.83% or (1.83%).) 2017 2016 % Change LIQUIDITY x Current ratio 0.92:1 1.05:1 -12.4% X X Accounts receivables turnover 9.0l times 5.9 times 52.67% X X x Inventory turnover 4.5 times 5.6 times -19.6% 2017 2016 % Change PROFITABILITY Profit margin 6.3% 6.9% -8.71% 14 Asset turnover 1.13 times 1.19 times -5.01% M Return on assets 7.1 % 8.21% -13.4% X Earnings per share 0.28 0.27 3.71% Your answer is partially correct. Try again. The following are three independent situations and a ratio that may be affected. For each situation, compute the affected ratio (1) as of December 31, 2017, and (2) as of December 31, 2018, after giving effect to the situation. (Round all answers to 1 decimal places, e.g. 1.8 or 1.8%. If % change is a decrease show the numbers as negative, e.g. -1.83% or (1.83%).) Situation 1. 18,000 shares of common stock were sold at par on July 1, 2018. Net income for 2018 was $54,000. Ratio Return on common stockholders' equity Debt to assets ratio 2. All of the notes payable were paid in 2018. All other liabilities remained at the same levels as at December 31, 2018. At December 31, 2018, total assets were $908,000. 3. The market price of common stock was $9 and $12 on December 31, 2017 and 2018, respectively. Net income for 2018 was $54,000. Price-earnings ratio 2018 2017 % Change Return on common stockholders' equity 46.6% 27.7|| % 68.21% Debt to assets ratio 39.4% 59.7% -34.01% x X X Price earnings ratio 0.6 times 3.0 times -80%