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PLEASE HELP WITH RETURN ON COMMON STOCKHOLDERS' EQUITY AND PRICE EARNINGS RATIO!!! The following financial information is for Blossom Company. BLOSSOM COMPANY Balance Sheets December

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PLEASE HELP WITH RETURN ON COMMON STOCKHOLDERS' EQUITY AND PRICE EARNINGS RATIO!!!

The following financial information is for Blossom Company. BLOSSOM COMPANY Balance Sheets December 31 Assets Cash Debt investments (short-term) Accounts receivable Inventory 2022 2021 $72,000 $67,000 54,000 39,000 109,000 92,000 235,000 164,000 26,000 27,000 134,000 134,000 259,000 185,000 $889.000 $708,000 Prepaid expenses Land Building and equipment (net) Total assets Liabilities and Stockholders' Equity Notes payable Accounts payable Accrued liabilities Bonds payable, due 2025 $170,000 $102,000 66,000 54,000 41.000 41.000 249,000 171.000 198,000 198,000 165,000 142,000 $889.000 $708,000 Common stock, $10 par Retained earnings Total liabilities and stockholders' equity BLOSSOM COMPANY Income Statements For the Years Ended December 31 Sales revenue Cost of goods sold 2022 2021 $898,000 $785,000 643,000 576,000 255,000 209.000 198,000 159,000 $ 57,000 $50,000 Gross profit Operating expenses Net income Additional information: 1. Inventory at the beginning of 2021 was $116,000. 2. Accounts receivable (net) at the beginning of 2021 were $89,000. 3. Total assets at the beginning of 2021 were $631,000. 4. No common stock transactions occurred during 2021 or 2022 5. All sales were on account. (a 1) Compute the liquidity and profitability ratios of Blossom Company for 2021 and 2022. (Round Curent ratio, Asset turnover and Earnings per share to 2 decimal places, e... 15.50 and round all other answers to 1 decimal place, e... 15.5. Round % change to o decimal places, for e.g. 1% and if % change is a decrease show the numbers as negative, eg. 1% or (1960) 2021 2022 % Change LIQUIDITY Current ratio Accounts receivables turnover 8.7 times times Inventory turnover 4.1 times 3.2 times .22 2021 2021 2022 2022 % Change % Change PROFITABILITY Profit margin Asset turnover Return on assets D Earnings per share 6.4 % 1.17 times .5 % 2.53 6.3 % 112 times 71 % 2.88 7 $ $ (b) Given below are three independent situations and a ratio that may be affected. For each situation, compute the affected ratio (1) as of December 31, 2022, and (2) as of December 31, 2023, after giving effect to the situation. (Round Debt to assets ratio to O decimal places, eg. 15 and round all other answers to 1 decimal place, e.g. 15.5. Round % change to decimal places, for eg. 1% and if % change is a decrease show the numbers as negative, e.g. -1% or (19).) Situation Ratio Return on common stockholders' equity 1. 2. 3. 19.000 shares of common stock were sold at par on July 1, 2023. Net income for 2023 was $53,000 All of the notes payable were paid in 2023. All other liabilities remained at their December 31, 2022 levels. Total assets on December 31, 2023, were $894,000. The market price of common stock was $9 and $13 on December 31, 2022 and 2023, respectively. Debt to assets ratio Price-earnings ratio 2022 2023 % Change Return on common stockholders' equity Return on common stockholders' equity ( 1 Debt to assets ratio 16 % C 59 % 3.1 times 2 % 40 % .8 times 25 % 32.2% 54.8 % Price earnings ratio 4

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