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Six Measures of Solvency or Profitability The following data were taken from the financial statements of Gates Inc. for the current fiscal year. $1,310,400 Property,
Six Measures of Solvency or Profitability The following data were taken from the financial statements of Gates Inc. for the current fiscal year. $1,310,400 Property, plant, and equipment (net) Liabilities: Current liabilities $145,000 Note payable, 6%, due in 15 years 728.000 $873,000 $873,000 Total liabilities 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 873,000 $932,000 Net income 328,000 $1,260,000 Preferred dividends $34,920 61,080 96,000 1,164,000 Common dividends Balance, end of year , Total stockholders' equity ' Sales $2,910,000 $8,268,500 Interest expense $43,680 Assuming that long-term investments totaled $1,891,000 throughout the year and that total assets were $3,594,000 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 % f. Return on common stockholders' equity %
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