Pinnacle Plus declared and paid a cash dividend of $7,400 in the current year. Its comparative financial statements, prepared at December 31, reported the following summarized information: Current Year Previous Year $150,000 68,000 82,800 44,000 4,899 33,200 9,960 $ 23, 240 $131,eee 64,000 67,000 39,400 4,800 22,800 6,840 $ 15,960 Income Statement Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Interest Expense Income before Income Tax Expense Income Tax Expense (30%) Net Income Balance Sheet Cash Accounts Receivable, Net Inventory Property and Equipment, Net Total Assets Accounts Payable Income Tax Payable Note Payable (long-term) Total Liabilities Common Stock (par $10) Retained Earnings Total Liabilities and Stockholders' Equity $ 79,940 25,000 33,000 103,000 $240, 940 $ 50,000 1,200 48.000 99,200 94,800 46,940 $240,940 $ 30,000 20,000 46,000 113,000 $209,000 $ 34,200 900 48.000 83, 100 94,800 31,100 $209,000 Save & Exit Check Required: 1. Compute the gross profit percentage in the current and previous years. Are the current year results better, or worse, than those for the previous year? 2. Compute the net profit margin for the current and previous years. Are the current year results better, or worse, than those for the previous year? 3. Compute the earnings per share for the current and previous years. Are the current year results better, or worse than those for the previous year? 4. Stockholders' equity totaled $108,000 at the beginning of the previous year. Compute the return on equity (ROE) ratios for the current and previous years. Are the current year results better, or worse than those for the previous year? 5. Net property and equipment totaled $118,000 at the beginning of the previous year. Compute the fixed asset turnover ratios for the current and previous years. Are the current year results better, or worse than those for the previous year? 6. Compute the debt-to-assets ratios for the current and previous years. Is debt providing financing for a larger or smaller proportion of the company's asset growth? 7. Compute the times interest earned ratios for the current and previous years. Are the current year results better, or worse, than those for the previous year? 8. After Pinnacle Plus released its current year's financial statements, the company's stock was trading at $26. After the release of its previous year's financial statements, the company's stock price was $23 per share. Compute the P/E ratios for both years. Does it appear that investors have become more or less) optimistic about Pinnacle's future success? Reqlped 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 1-a. Compute the gross profit percentage in the current and previous years. (Round your answers to 1 decimal place.) 1-b. Are the current year results better, or worse, than those for the previous year? 1-a Gross Profit Percentage % Current Year Previous Year % 1-b. Current year gross profit percentage? Better Worse Required 1 Redpaired 2 Required 3 Required 4 Required 5 Required 6 Required 7 Require 2-a. Compute the net profit margin for the current and previous years. (Round your answers to 1 decimal pla. 2-b. Are the current year results better, or worse, than those for the previous year? 2-a Current Year Net Profit Margin % % Previous Year 2-b. Current year net profit margin? Better Worse Required 1 Required 2 Redwired 3 Required 4 Required 5 Required 6 Required 7 Required 8 3-a. Compute the earnings per share for the current and previous years. (Round your answers to 2 decimal places.) 3-b. Are the current year results better, or worse, than those for the previous year? 3-a. Earnings per Share Current Year Previous Year 3-b Current year EPS? Better Worse Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 4-a. Stockholders' equity totaled $108,000 at the beginning of the previous year. Compute the return on equity (ROE) ratios for the current and previous years. (Round your answers to 1 decimal place.) 4-b. Are the current year results better, or worse, than those for the previous year? 4-a Return on Equity Current Year Previous Year % 4-6. Current year return on equity ratio? Better Worse