selected year end financial statements of Cabot corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2016, were inventory, $48,900; total assets, $189,400; common stock, $90,000; and retained earnings, $22,758.)

E newconnect.mheducation.com Chapter 17 Exercises Financial Statement Analysis Statement Analysis Saved Help Save & Exit Check my w Problem 17-4A Calculation of financial statement ratios LO P3 Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2016, were inventory, $48,900; total assets, $189,400; common stock, $90,000; and retained earnings, $22,748.) CABOT CORPORATION Income Statement For Year Ended December 31, 2017 Sales $ 448 , 600 cost of goods sold 297,250 Gross profit 151 , 350 Operating expenses 98 , 600 Interest expense Income before taxes 4, 100 18 , 650 Income taxes 19 , 598 Net income $ 29,052 CABOT CORPORATION Balance Sheet December 31, 2017 Assets Liabilities and Equity Cash 10 . 090 Accounts payable $ 17,500 Short-term investments 8 , 400 Accrued wages payable 3,200 Accounts receivable, net 29 / 200 Income taxes payable 3, 300 Notes receivable ( trade ) 4 . 500 Merchandise inventory 32. 150 Long-term note payable, secured 63, 400 by mortgage on plant assets Prepaid expenses 2. 650 Common stock 90, 000 Plant assets, net 153, 300 Retained earnings 62,800 Total assets $ 240, 200 Total liabilities and equity $ 240, 200 1 of 7 Next > F2 988 F4 F5 F6 44 F7 @ # 3 5 O F R T O D W S D G H K