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Solomon Company's income statement information follows. The average number of shares outstanding was 7,800 for Year 3 and 6,900 for Year 2. Required Compute the
Solomon Company's income statement information follows. The average number of shares outstanding was 7,800 for Year 3 and 6,900 for Year 2. Required Compute the following ratios for Solomon for Year 3 and Year 2. a. Number of times interest was earned. (Round your answers to 2 decimal places.) b. Earnings per share based on the average number of shares outstanding. (Round your answers to 2 decimal places.) c. Price-earnings ratio (market prices: Year 3, \$69 per share; Year 2, \$74 per share).(Round your intermediate and final answers to 2 decimal places.) d. Return on average equity. (Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45)) e. Net margin. (Round your answers to 2 decimal places. (i.e., . 2345 should be entered as 23.45))
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