PR 17-40 Measures of liquidity, solvency and profitability Obj, 3, 4, 5 The comparative financial statements of Staryel Inc. are as follows. The marlot price of Stargel common stock was $119.70 on December 31, 2012 2011 sesssooo Staryeline Comparative Retained Earnings Statement For the Years Ended December 31, 2012 and 2011 2012 Retained earnings, January 1 55375.000 Net income 900.000 Total SA 275.000 Dividends: On preferred stock 15.000 On common stock Total dividends 55.000 Retained on December 31 S000 Sales Cost of goods sold Gross profit.. Selling expenses Administrative expenses. Total operating expenses Income from operations Other income Stargal Inc. Comparative Income Statement For the Years Ended December 31, 2012 and 2011 2012 $10,000,000 5,350,000 $ 4,650,000 $ 2,000,000 1,500,000 $ 3,500,000 $ 1,150,000 150.000 $ 1,300,000 170,000 $ 1,130,000 230,000 900,000 20Y1 $9.400.000 4,950,000 $4.450.000 51.880,000 1.410,000 $3.290,000 $1,160,000 140,000 $1,300,000 350,000 $1,150.000 225.000 925,000 Other expense (interest) Income before income tax Income tax expense Net income Stargel Inc. Comparative Balance Sheet December 31, 20Y2 and 2011 20Y2 2011 December 31, 2012 and 2041 2012 2011 5.500,000 1.010,000 740,000 1.190,000 250,000 $3,690,000 2,350,000 3.740.000 59,780,000 $ 400,000 1.000.000 $10,000 950.000 279.000 $3,089,000 2.300.000 3.366.000 58,755.000 Assets Current assets: Cash Marketable securities... Accounts receivable (net) Inventories. Prepaid expenses Total current assets Long-term investments Property, plant, and equipment (net) Total assets Liabilities Current liabilities Long-term liabilities: Mortgage note payable, 10% Bonds payable, 10% Total long term liabilities Total liabilities Stockholders' Equity Preferred 5090 stock 510 par Common stock. ss par Retained earnings Total stockholders equity Total abilities and stockholders equity $ 900,000 $ 890,000 $ 200,000 1.500.000 $1,700,000 $2.500.000 1.500.000 $1.500.000 520.000 is sooooo S00.000 S. P00 2 AA Determine the following measures for 2012, rounding to one decimal place including percentages, except for per are amounts 1. Working capital 2. Current ratio 3. Quick ratio 4. Accounts recevable turnover S.Number of days shales in recevables 6. Inventory turnover Number of day sales in inventory B. Ratio of fixed assets to long term labilities 9. Ratio ofilities to stockholders 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
