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Luther Corporation Consolidated Balance Sheet December 31, 2009 and 2008 (in $ millions) Assets 2009 2008 Liabilities and Stockholders' Equity 2009 2008 Current Assets Current

Luther Corporation

Consolidated Balance Sheet

December 31, 2009 and 2008 (in $ millions)

Assets

2009

2008

Liabilities and Stockholders' Equity

2009

2008

Current Assets

Current Liabilities

Cash

63.6

58.5

Accounts payable

87.6

73.5

Accounts receivable

55.5

39.6

Notes payable /

short-term debt

10.5

9.6

Inventories

45.9

42.9

Current maturities of long-term debt

39.9

36.9

Other current assets

6.0

3.0

Other current liabilities

6.0

12.0

Total current assets

171.0

144.0

Total current liabilities

144.0

132.0

Long-Term Assets

Long-Term Liabilities

Land

66.6

62.1

Long-term debt

239.7

168.9

Buildings

109.5

91.5

Capital lease obligations

---

---

Equipment

119.1

99.6

Total Debt

239.7

168.9

Less accumulated

depreciation

(56.1)

(52.5)

Deferred taxes

22.8

22.2

Net property, plant, and equipment

239.1

200.7

Other long-term liabilities

---

---

Goodwill

60.0

--

Total long-term liabilities

262.5

191.1

Other long-term assets

63.0

42.0

Total liabilities

406.5

323.1

Total long-term assets

362.1

242.7

Stockholders' Equity

126.6

63.6

Total Assets

533.1

386.7

Total liabilities and Stockholders' Equity

533.1

386.7

Consider the Luther Corporation income statement, balance sheet and other information :

Luther's return on equity (ROE) for the year ending December 31, 2009 is closest to:

a. 2.0%

b. 6.5%

c. 8.4%

d. 12.7%

Assuming that Luther has no convertible bonds outstanding, then for the year ending December 31, 2009 Luther's diluted earnings per share are closest to:

a. $1.01

b. $1.04

c. $1.28

d. $1.33

Luther's Operating Margin for the year ending Dec 31, 2008 is closest to:

a. 0.5%

b. 0.7%

c. 5.4%

d.6.8%

When using the book value of equity, the debt to equity ratio for Luther in 2009 is closest to:

a. 0.43

b. 2.29

c. 2.98

d.3.57

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