Return toc 1 Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory, $54,900; total assets, $209,400; common stock, $86,000; and retained earnings, $45,037.) 100 points CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 453,600 Cost of goods sold 298, 250 Gross profit 155,350 Operating expenses 98,700 Interest expense 4,800 Income before taxes 51,850 Income tax expense 20,887 Net income $ 30,963 Assets Cash Short-term investments Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 22,000 Accounts payable 9,400 Accrued wages payable 32,400 Income taxes payable 38,150 Long-term note payable, secured by mortgage on plant assets 2,950 Common stock 151,300 Retained earnings $ 256,200 Total liabilities and equity $ 16,500 4,400 3,900 69,400 86,000 76,000 $ 256,200 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.) on common stockholders' equity. (Do not round intermediate calculations.) Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req 4 Reg 5 Reg 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the current ratio and acid-test ratio. (1) Current Ratio Choose Numerator: Choose Denominator: Current Ratio Current ratio 0 to 1 (2) Acid-Test Ratio Choose Denominator: Choose Numerator: Acid-Test Ratio Acid-Test Ratio 0 to 1 Req 1 and 2 Reg 3 > Return to question UU YA 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.) Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req 4 Reg 5 Reg 6 Req 7 Reg 8 Req 9 Req 10 Req 11 Compute the days' sales uncollected. (3) Choose Numerator: Days' Sales Uncollected Choose Denominator: Days 7 Days Sales Uncollected Days sales uncollected X X = 0 days Total assets $ 256,200 Total liabilities and equity $ 256,200 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.) Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Req 5 Req 6 Req 7 Req 8 Reg 9 Reg 10 Req 11 Compute the inventory turnover. Choose Numerator: Inventory Turnover Choose Denominator: Average inventory Cost of goods sold 1 Inventory Turnover Inventory turnover 0 times Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Req 5 Req 6 Req 7 Reg 8 Req 9 Req 10 Req 11 Compute the days' sales in inventory. (5) Days' Sales in Inventory Choose Numerator: Choose Denominator: Days Days' Sales in Inventory Days' sales in inventory 0 days Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Reg 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the total asset turnover. (9) Total Asset Turnover Choose Numerator: Choose Denominator: Total Asset Turnover = Total asset turnover 0 times Req 8 Req 10 X Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Reg 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the return on total assets. (10) Return on Total Assets Choose Numerator: 1 Choose Denominator: Return on Total Assets Return on total assets 0 % Req9 Req 11 > Req 1 and 2 Req 3 Reg 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the return on common stockholders' equity. (11) Return on Common Stockholders' Equity Choose Numerator: Choose Denominator Return On Common Stockholders' Equity Return on common stockholders' equity = Il 0 % Req 10 Req 11