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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
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, $51,900; total assets, $189,400; common stock, $86,000; and retained earnings, $46,763.) CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 447,600 Cost of goods sold 298,150 Gross profit 149,450 Operating expenses 98,600 Interest expense 3,900 Income before taxes 46,950 Income tax expense 18,913 Net income $ 28,037 $ Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 18,000 Accounts payable 8,800 Accrued wages payable 32,000 Income taxes payable 38,150 Long-term note payable, secured by mortgage on plant assets 2,450 Common stock 152,300 Retained earnings $ 251,700 Total liabilities and equity 15,500 3,200 2,800 69,400 Prepaid expenses Plant assets, net Total assets 86,000 74,800 $ 251,700 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.)
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