Quantitative Problem Rostan Industries 2022 and 2021 balance sheets and income statements are shown below, Balance Sheets 2022 2021 $ 45 Assets Cash and equivalents Accounts receivable Inventories Total current assets Net plant and equipment Total assets 300 $ 60 275 375 $710 2,000 $2,710 350 $ 695 1.490 $2,185 Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Common stock Retained earnings Total common equity Total liabilities and equity $ 150 75 110 $ 335 $ 785 1.225 200 $1,925 $2,710 $85 50 135 $ 270 290 $ 560 1,225 400 $1,625 $2,155 Income Statements Sales Operating costs excluding depreciation and amortization EBITDA Depreciation and amortization EAT Interest EBT 2022 $2,000 1,350 5550 116 $ 534 62 $ 472 2021 $1,500 1,050 $450 101 $ 349 45 $ 304 vepreciation and amortization EBIT Interest EBT Taxes (25%) Net Income 116 $ 534 62 $ 472 101 $ 349 45 $ 304 76 $ 228 118 $ 354 Dividends paid Addition to retained earnings 554 $300 548 $180 Shares outstanding 100 100 Price $25.00 $22.50 WACC 10.00 What is the firm's 2022 current ratio De not round intermediate calculations. Round your answer to twe decimal places If the industry average debt-to-assets ratio is 30%, then Roshan's creditors have a select cushion than indicated by the industry were What is the firm's 2022 net profit margin? Do not round intermediate calculations. Round your answer to two decimal places If the industry average profit margin is 12%, then Rosnan's lower than average debt-to-assets ratio might be one reason for its high prutt margin. What is the firm's 2022 price/earnings ratio? Do not round intermediate calculations. Round your answer to two decimal places Using the DuPont equation, what is the firm's 2022 ROE? Do not round intermediate calculations. Round your answer to two decimal places Quantitative Problem: Rosnan Industries' 2022 and 2021 balance sheets and income statements are shown below. Balance Sheets 2022 2021 Assets Cash and equivalents 60 $ 45 Accounts receivable 275 300 Inventories 375 350 Total current assets $ 710 695 Net plant and equipment 2,000 1,490 Total assets $2,710 $2,185 $ Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Common stock Retained earnings Total common equity Total liabilities and equity 150 75 110 $ 335 450 $ 785 1,225 700 $1,925 $2,710 85 50 135 $ 270 290 $ 560 1,225 400 $1,625 $2,185 Income Statements Sales Operating costs excluding depreciation and amortization EBITDA Depreciation and amortization EBIT Interest Taxes (25%) Net income 2022 $2,000 1,350 $ 650 116 $ 534 62 $ 472 118 $ 354 2021 $1,500 1,050 $ 450 101 $ 349 45 $ 304 76 228 $ 354 $ 228 $54 $48 Net income Dividends paid Addition to retained earnings Shares outstanding Price WACC $300 $180 100 $25.00 10.00% 100 $22.50 1) What is the firm's 2022 current ratio? Do not round intermediate calculations. Round your answer to two decimal places. 2) What is the firm's 2022 net profit margin? Do not round intermediate calculations. Round your answer to two decimal places. 3) What is the firm's 2022 price/earnings ratio? Do not round intermediate calculations. Round your answer to two decimal places. 4)Using the DuPont equation, what is the firm's 2022 ROE? Do not round Intermediate calculations. Round your answer to two decimal places
