Income Statement (2005) Sales Cost of goods sold Gross Profit Selling and administrative expenses Operating profit Income before tax Net Income Balance Sheet $5,000,000 3.400.000 1,600,000 1.000.000 600,000 450,000 300,000 2 Cash Accounts receivable Inventory Total Current assets Fixed assets Total assets 2005 2004 $ 50,000 $ 40,000 570,000 600,000 530,000 460,000 1,150,000 1,100,000 1,550,000 1,400,000 2,700,000 2,500,000 320,000 300,000 480,000 400.000 800,000 700,000 1,000,000 1,000,000 1,800,000 1,700,000 200,000 200,000 700.000 600.000 2,700,000 2,500,000 Accounts payable Bank loan Total current liabilities Bonds payable Total liabilities Common stock (20,000 shares) Retained earnings Total liabilities and shareholders' eq. Note: The common shares are trading in the stock market for $160 each. Calculate the firm's P/E and market to book ratios