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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
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, $49,900; total assets, $179,400; common stock, $89,000; and retained earnings, $41,484.) Assets Cash Short-term investments, Accounts receivable, net Prepaid expenses Plant assets, net Merchandise inventory $ 20,000 CABOT CORPORATION Balance Sheet December 31 of current year Liabilities and Equity Accounts payable 8,600 Accrued wages payable 33,600 Income taxes payable 30,150 Long-term note payable, secured by mortgage on plant assets 3,150 Common stock 154,300 Retained earnings Total assets $ 249,800 Total liabilities and equity CABOT CORPORATION Income Statement $ 15,500 5,000 3,200 67,400 89,000 69,700 $ 249,800 For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses. Interest expense Income before taxes Income tax expense Net income Required: $ 448,600 297,850 150,750 98,700 4,800 47,250 19,034 $ 28,216 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 equity. (Do not round intermediate calculations.)
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