Sokov Companys income statement information follows.

	2014			2013
Net sales	$	480,000		$	320,000
Income before interest and taxes		120,000			98,000
Net income after taxes		81,000			72,000
Interest expense		9,000			8,000
Stockholders equity, December 31 (2012: $200,000)		300,000			240,000
Common stock, December 31		240,000			200,000

The average number of shares outstanding was 9,600 for 2014 and 8,000 for 2013.

Required

Compute the following ratios for Sokov for 2014 and 2013.

a.	Number of times interest was earned. (Round your answers to 2 decimal places.)
	Interest earned 2014: ________ times Interest Earned 2013: ________ times

b.	Earnings per share based on the average number of shares outstanding. (Round your answers to 2 decimal places.)
	Earnings per share 2014: $ _______ Earnings per share 2013: $ _______

c.	Price-earnings ratio (market prices: 2014, $64 per share; 2013, $78 per share). (Do not round intermediate calculations and round final answers to 2 decimal places.)
	Price-earnings ratio 2014:_____times
	Price-earnings ratio 2013: _____times

d.	Return on average equity. (Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45.))
	Return on average equity 2014: _____%
	Return on average equity 2013: _____%

e.	Net margin. (Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45.))
	Net Margin 2014: _____%
	Net Margin 2013: _____%