PR 14-4A. Measures of Liquidity, Solvency, and Profitability Obj. 3, 4, 5 The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall common stock was $82.60 on December 31, 20Y2.

(I completed most of it, I'm looking for help on the blank ones and the field with red asterisk* not the red corners)

(which is 6-9 and 11)

Marshall Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Retained earnings, January 1. . . . . . . . . . . . $3,704,000 $3,264,000 Net income . .. $ 600,000 $ 550,000 Dividends: On preferred stock . (10,000) (10,000) On common stock. . . . . . (100,000) (100,000) Increase in retained earnings. . . . . . . . . . $ 490,000 $ 440,000 Retained earnings, December 31 . $4,194,000 $3,704,00 Marshall Inc. Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Sales . . . . . ... $ 10,850,000 $10,000,000 Cost of goods sold. (6,000,000) (5,450,000) Gross profit . . $ 4,850,000 $ 4,550,000 Selling expenses . . .. $ (2,170,000) $ (2,000,000) Administrative expenses . . (1,627,500) (1,500,000) Total operating expenses $ (3,797,500) $ (3,500,000) Operating income . . .. $ 1,052,500 $ 1,050,000 Other revenue and expense: Other revenue . . . . 99,500 20,000 Other expense (interest) . . . . . . . . . . . .. (132,000) (120,000) Income before income tax expense. 1,020,000 950,000 Income tax expense . . . (420,000) (400,000) Net income . . $ 600,000 $ 550,000 Marshall Inc. Comparative Balance Sheet December 31, 20Y2 and 20Y1 20Y2 20Y1 Assets Current assets: Cash . . . . $1,050,000 $ 950,000 Marketable securities. . . 301,000 420,000 Accounts receivable (net) 585,000 500,000 Inventories . .. .. 420,000 380,000 Prepaid expenses 108,000 20,000 Total current assets . . . . . . . . .. $ 2,464,000 $2,270,000 Long-term investments. 800,000 800,000 Property, plant, and equipment (net) 5,760,000 5,184,000 Total assets . . . . $ 9,024,000 $8,254,000 Liabilities Current liabilities .. . . . . . . $ 880,000 $ 800,000 Long-term liabilities: Mortgage note payable, 6%, . $ 200,000 S 0 Bonds payable, 4%, . . . . . 3,000,000 3,000,000 Total long-term liabilities . . .. . $ 3,200,000 $3,000,000 Total liabilities . . . $ 4,080,000 $3,800,000 Stockholders' Equity Preferred 4% stock, $5 par . ... $ 250,000 $ 250,000 Common stock, $5 par . . . . . 500,000 500,000 Retained earnings . ... 4,194,000 3,704,000 Total stockholders' equity . . .. .. $ 4,944,000 $4,454,000 Total liabilities and stockholders' equity . . .. .. $ 9,024,000 $8,254,000Current Current Assets Liabilities = Calculated Value Working capital $2,464,000 $660,000 $1,584,000 Ratio Numerator + Denominator = Calculated Value Current ratio Quick ratio Accounts receivable turnover 55 10.850.000 Number of days' sales in receivables $ 542,500 $ 29,726 _ 18.3 Inventory turnover ii Number of days' sales in inventory Ratio of fixed assets to long-term liabilities Ratio of liabilities to stockholders' equity |:| Times interest earned $ 1 ,152,000 $ 132,000 8 7 iliiii E E |:| |:| Asset turnover 3: 10,850,000 $ 8,039,000 *