Long-term debt ratio	0.3
Times interest earned	8.0
Current ratio	1.1
Quick ratio	1.0
Cash ratio	0.3
Inventory turnover	4.0
Average collection period	73	days

Use the above information from the tables to work out the following missing entries, and then calculate the companys return on equity. Note: Turnover and the average collection period are calculated using start-of-year, not average, values. (Enter your answers in millions. Round intermediate calculations and final answers to 2 decimal places.)

A.

INCOME STATEMENT
(Figures in $ millions)
Net sales
Cost of goods sold
Selling, general, and administrative expenses	23.00
Depreciation	33.00
Earnings before interest and taxes (EBIT)
Interest expense
Income before tax
Tax (35% of income before tax)
Net income

B. Construct a Balance sheet and find the values for long term debt and shareholder's equity.

BALANCE SHEET
(Figures in $ millions)
	This Year	Last Year
Assets
Cash and marketable securities	$27.00	$33
Accounts receivable	63.00	47
Inventories	9.00	39
Total current assets	$99.00	$119
Net property, plant, and equipment	136.00	38
Total assets	$235.00	$157
Liabilities and shareholders equity
Accounts payable	$40.00	$35
Notes payable	50.00	55
Total current liabilities	$90.00	$90
Long-term debt		21
Shareholders equity		46
Total liabilities and shareholders equity	$235.00	$157