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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, $179,400; common stock, $82,000; and retained earnings, $38,144.) CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 454,600 Cost of goods sold 297,350 Gross profit 157,250 Operating expenses 99,000 Interest expense 3,900 Income before taxes 54,350 Income tax expense 21,894 Net income $ 32,456 Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 8,000 Accounts payable 8,600 Accrued wages payable 31,600 Income taxes payable 40,150 Long-term note payable, secured by mortgage on plant assets 2,650 Common stock 153,300 Retained earnings $ 244,300 Total liabilities and equity 15,500 4,000 3,800 68,400 Prepaid expenses Plant assets, net Total assets 82,000 70,600 $ 244,300 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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