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Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2014, were inventory, $52,900; total

Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2014, were inventory, $52,900; total assets, $179,400; common stock, $84,000; and retained earnings, $48,048.)

CABOT CORPORATION Income Statement For Year Ended December 31, 2015

Sales

$

451,600

Cost of goods sold

296,950

Gross profit

154,650

Operating expenses

98,600

Interest expense

3,800

Income before taxes

52,250

Income taxes

21,048

Net income

$

31,202

CABOT CORPORATION Balance Sheet December 31, 2015

Assets

Liabilities and Equity

Cash

$

22,000

Accounts payable

$

18,500

Short-term investments

8,200

Accrued wages payable

2,800

Accounts receivable, net

30,400

Income taxes payable

3,700

Notes receivable (trade)*

7,000

Long-term note payable, secured

Merchandise inventory

40,150

by mortgage on plant assets

71,400

Prepaid expenses

2,600

Common stock

84,000

Plant assets, net

149,300

Retained earnings

79,250

Total assets

$

259,650

Total liabilities and equity

$

259,650

* These are short-term notes receivable arising from customer (trade) sales.

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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