Six Measures of Solvency or Profitability The following data were taken from the financial statements of Gates Inc. for the current fiscal year. Property, plant, and equipment (net) $1,916,800 Liabilities: Current liabilities $239,000 Note payable, 6%, due in 15 years 1,198,000 Total liabilities $1,437,000 $2,155,500 2,155,500 Stockholders' equity: Preferred $4 stock, $100 par (no change during year) Common stock, $10 par (no change during year) Retained earnings: Balance, beginning of year $2,300,000 Net income - 928,000 $3,228,000 Preferred dividends $86,220 Common dividends 267,780 354,000 Balance, end of year 2,874,000 Total stockholders' equity $7,185,000 Sales $20,887,050 Interest expense $71,880 $20,887,050 Interest expense 571,880 Assuming that long-term investments totaled $4,311,000 throughout the year and that total assets were $0, 191,000 at the beginning of the current fiscal year, determine the following When required, round to one decimal place a. Ratio of fixed assets to long-term liabilities b. Ratio of liabilities to stockholders' equity C. Asset turnover d. Return on total assets e. Return on stockholders' equity 1. Return on common stockholders' equity 9 ENG 7:44 7/20 hp