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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, $54,900; total assets, $229,400; common stock, $89,000; and retained earnings, $35,439.) Sales CABOT CORPORATION Income Statement For Current Year Ended December 31 $ 452,600 Cost of goods sold 297, 450 Gross profit 155, 150 Operating expenses 98,700 Interest expense 4,100 Income before taxes 52, 350 Income tax expense 21,089 Net income 31, 261 Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 18,000 Accounts payable 8,400 Accrued wages payable 30, 600 Income taxes payable 38,150 Long-term note payable, secured by mortgage on plant assets 2,950 Common stock 149, 300 Retained earnings $ 247,400 Total liabilities and equity $ 15,500 3,800 4,000 68,400 Prepaid expenses Plant assets, net Total assets 89,000 66, 700 $ 247, 400 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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