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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, $51,900; total assets, $189,400; common stock, $89,000; and retained earnings, $32,909.) CABOT CORPORATION Income Statement 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 $ 449,600 298,050 151,550 98,600 3,900 49,050 19,759 $ 29,291 CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity Assets Cash Short-term investments Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets $ 8,000 Accounts payable 16,500 8,800 Accrued wages payable 3,600 31,400 Income taxes payable 3,900 38,150 Long-term note payable, secured by 64,400 mortgage on plant assets 2,950 Common stock 89,000 150,300 Retained earnings 62,200 $239,600 $ 239,600 Total liabilities and equity 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.) Complete this question by entering your answers in the tabs below. Req 41 Req 5 Req 6 Reg 7 Req B Reg 9 Req 10 Req 11 Req 1 and 2 Req 3 Compute the current ratio and acid-test ratio. (1) Choose Numerator Current Ratio Choose Denominator: Current Ratin
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