Measures of liquidity, Solvency, and Profitability The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall common stock was $63 on December 31, 20Y2 Marshall Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y1 20Y2 s 3,844,350 787,400 $ 4,631,750 Retained earnings, January 1 Net income Total Dividends: s 4,521,250 1,008,000 $5,529,250 s 13,300 97,200 $ 110,500 $ 4,521,250 $13,300 97,200 110,500 $ 5,418,750 On preferred stock On common stock Total dividends Retained earnings, December 31 Marshall Inc. Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y1 20Y2 $ 5,175,540 1,824,070 s 3,351,470 $ 1,463,910 859,760 $2,323,670 s 1,027,800 65,600 s 1,093,400 198,400 $ 895,000 107,600 s 787,400 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total operating expenses Income from operations Other revenue $ 5,617,350 1,982,680 s 3,634,670 s 1,190,400 1,014,050 $2,204,450 1,430,220 75,280 1,505,500 360,000 $ 1,145,500 137,500 1,008,000 Other expense (interest) Income before income tax Income tax expense Net income Marshall Inc. Comparative Balance Sheet December 31, 20Y2 and 20Y1 20Y1 20Y2 Assets Current assets Cash Marketable securities Accounts receivable (net) Inventories Prepaid expenses $925,330 1,400,500 1,073,100 803,000 175,070 $ 4,377,000 3,180,750 5,850,000 13,407,750 $983,250 1,629,400 1,007,400 613,200 196,650 $ 4,429,900 1,109,739 5,265,000 10,804,639 Total current assets Long-term investments Property, plant, and equipment (net) Total assets Liabilities Current liabilities s 1,459,000 $1,773,389 Long-term liabilities: $ 2,020,000 2,480,000 $ 4,500,000 $ 5,959,000 $ 0 2,480,000 s 2,480,000 s 4,253,389 Mortgage note payable, 8% Bonds payable, 8% Total long-term liabilities Total liabilities Stockholders' Equity 950,000 1,080,000 5,418,750 $ 7,448,750 13,407,750 950,000 1,080,000 4,521,250 6,551,250 $10,804,639 Preferred $0.70 stock, $50 par Common stock, $10 par Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Required: Required: Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, which should be rounded to the nearest cent. Use the rounded answer of the requirement for subsequent requirement, if required. Assume 365 days a year 1. Working capital 2. Current ratio 3. Quick ratio 4. Accounts receivable turnover . Number of days' sales in receivables days Inventory turnover 7. Number of days' sales in inventory 8. Ratio of fixed assets to long-term liabilities . Ratio of liabilities to stockholders' equity 10. Times interest earned 11. Asset turnover 12. Return on total assets 13. Return on stockholders' equity 14. Return on common stockholders' equity 15. Earnings per share on common stock 16. Price-earnings ratio 17. Dividends per share of common stock 18. Dividend yield days
