P13-8A. Ratios Compared with Industry Averages Because you own the common stock of Phantom Cor- LO4 poration, a paper manufacturer, you decide to analyze the firm's performance for the most recent year. The following data are taken from the firm's latest annual report: Quick assets.. Inventory and prepaid expenses Other assets. Total Assets Current liabilities... 10% Bonds payable... 8% Preferred stock, $100 par value. Common stock, $10 par value.. Dec. 31, 2016 Dec. 31, 2015 $ 700,000 372,000 4,788,000 $5,860,000 $ 724,000 1,440,000 480,000 2,700,000 $ 552,000 312,000 4,200,000 $5,064,000 $ 564,000 1,440,000 480,000 2,160,000 Retained earnings Total Liabilities and Stockholders' Equity 516,000 420,000 $5,860,000 $5,064,000 For 2016, net sales amount to $11,280,000, net income is $575,000, and preferred stock dividends paid are $42,000. a. Calculate the following ratios for 2016: Required 1. Return on sales 2. Return on assets 3. Return on common stockholders' equity 4. Quick ratio 5. Current ratio 6. Debt-to-equity ratio