Problem 13-4A Calculation of financial statement ratios LO P3 Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2016, were inventory, $51,900; total assets, $199,400; common stock, $82,000; and retained earnings, $53,283.)

Required: Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11) return on common stockholders' equity. (Do not round intermediate calculations.)

Problem 13-4A Calculation of financial statement ratios LO P3 Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2016, were inventory, $51,900; total assets, $199,400; common stock, $82,000; and retained earnings, $53,283.) CABOT CORPORATION Income Statement For Year Ended December 31, 2017 Sales $ 455,600 Cost of goods sold 297,950 Gross profit 157,650 Operating expenses 98,900 Interest expense 4,800 Income before taxes 53,950 Income taxes 21,733 Net income $ 32,217 $ Assets Cash Short-term investments Accounts receivable, net Notes receivable (trade) * Merchandise inventory CABOT CORPORATION Balance Sheet December 31, 2017 Liabilities and Equity $ 20,000 Accounts payable 9,200 Accrued wages payable 31,400 Income taxes payable 6,500 32,150 Long-term note payable, secured by mortgage on plant assets 2,850 Common stock 154,300 Retained earnings $ 256,400 Total liabilities and equity 16,500 4,000 4,000 64,400 Prepaid expenses Plant assets, net Total assets 82,000 85,500 $ 256,400 * These are short-term notes receivable arising from customer (trade) sales. Required: Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11) return on common stockholders' equity. (Do not round intermediate calculations.) These are short-term notes receivable arising from customer (trade) sales * These are short-term notes receivable arising from customer (trade) sales. Required: Compute the following: (1) current ratio, (2) acid-test ratio, (3) days sales uncollected. (4) Inventory turnover (5) days' sales in inventory (6) debt-to-equity ratio, 7) times interest earned, 18 profit margin ratio, total asset turnover (10) return on total assets, and (11) return on common stockholders' equity. (Do not round Intermediate calculations) Required: Compute the following (1) current ratio, 2) acid test ratio. (3) days' sales uncollected, 4) Inventory turnover (5) days' sales in inventory (6) debt to equity ratio, 7 times interest camed (8) profit margin ratio (9) total asset turnover (10) return on total assets, and (11) return on common stockholders' equity. (Do not round Intermediate calculations.) Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below Reg 1 and Reg 1 and Reg3 Re4 ReqS Reg 6 Reg 10 Reg 11 Req3 Reg4 Reqs Req6 Reg? Req8 Req9Req 10 Req11 Compute the days' sales uncollected Compute the current ratio and acid-test ratio Choose Numeratori Days Sales Uncollected Choose Denominator Days - Days Bas Uncollected - Choose Numerator: Current assets Choose Current labies Current Ratio Current ratio - Days sales uncollected 12] o days Choose Numerator: Acid-Test Ratio Choose Denominator: Acid-Test Acid-Test Acid-Test Ral ** - 0 m 11 | Rega Red 10 Req 11 Reg1 and Reg 3 Re4 Reg 5 Req6 Reg Reg 10 Reg 11 Compute the days sales in inventory. Du ales In Inventory Compute the inventory turnover. Choose Numerator: Days entory Turnover Days' sales in Inventory Days' sales in inventory O days Choose Numerator c h Inventory Turnover Prev 4 of 4 ! DO99 PIC.COLLAGE - These hom blearing m ed rec u nchoy body inventory These are the c oncerned Compute the interior, d ec. 14 ye r Con c urrence es - - Rens se tag on customer Corting current conte n t ** * 30 D E PICCOLLAGE