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Radio Heed, Incorporateds income statement and other financial information for the current year is presented below. Radio Heed, Incorporated Income Statement For the year ended
Radio Heed, Incorporateds income statement and other financial information for the current year is presented below. Radio Heed, Incorporated Income Statement For the year ended December 31 Sales revenue $ 274,131 Cost of goods sold 87,360 Gross profit 186,771 Selling, general and administrative expenses 17,135 Operating income 169,636 Interest expense 6,297 Income before taxes 163,339 Income tax expense 5,714 Net income $ 157,625 Balance sheet information: Current assets $ 261,500 Noncurrent assets 523,000 Current liabilities 73,000 Long-term debt 146,000 Required: a. Perform vertical analysis of the income statement. b. Calculate the debt-to-assets ratio. c. Calculate the times interest earned ratio
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