Solomon Companys income statement information follows:

	Year 3				Year 2
Net sales	$	415,000			$	267,000
Income before interest and taxes		111,000				80,000
Net income after taxes		55,000				62,800
Interest expense		9,350				7,700
Stockholders equity, December 31 (Year 1: $194,000)		308,000				225,000
Common stock, December 31		197,500				175,000

The average number of shares outstanding was 7,900 for Year 3 and 7,000 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, $66 per share; Year 2, $73 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))

Solomon Companys income statement information follows:

	Year 3				Year 2
Net sales	$	415,000			$	267,000
Income before interest and taxes		111,000				80,000
Net income after taxes		55,000				62,800
Interest expense		9,350				7,700
Stockholders equity, December 31 (Year 1: $194,000)		308,000				225,000
Common stock, December 31		197,500				175,000

The average number of shares outstanding was 7,900 for Year 3 and 7,000 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, $66 per share; Year 2, $73 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))

		Year 3		Year 2
a.	Times interest earned		times		times
b.	Earnings per share
c.	Price-earnings ratio		times		times
d.	Return on average equity		%		%
e.	Net margin		%		%