The below represents the comparative financial statements of Kamla Corporation. Kamla Corporation Comparative Income Statement For the Years Ended December 31, 2016 and 2015 2016 2015 Net sales (all on account) $1,178,000 $1,034,000 Expenses: Cost of goods sold $808,000 $710,000 Selling and administrative 209,000 225,000 Interest expense 12,000 14,000 Income tax expense 33,400 23,000 Total expenses $1,062,400 $972,000 Net income $115,600 $62,000 2015 Kamla Corporation Comparative Balance Sheet December 31, 2016 and 2015 Assets 2016 Current assets: Cash $38,600 Notes receivable 34,200 Accounts receivable (net) 171,200 Inventory 181,500 Total current assets 425,500 Property, plant, and equipment (net) 842,000 Total assets $1,267,500 Liabilities and Stockholders' Equity Current liabilities: Accounts navable 4242000 $37,000 28,600 149,400 138,800 353,800 782,000 $1,135,800 $238.000 RI Liabilities and Stockholders' Equity Current liabilities: Accounts payable Notes payable Total current liabilities Long-term liabilities: Bonds payable Total liabilities $242,000 47,200 $289,200 $238,000 41,800 $279,800 233,000 $522,200 164,800 $444,600 Stockholders' equity: Common stock ($5 par) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $300,000 445,300 745,300 $1,267,500 $300,000 391,200 $691,200 $1,135,800 Additional data: 1) The common stock recently sold at $44 per share. 2) The weighted average common shares outstanding for the two years, 2015 and 2016, was 70,00 Compute the current ratio for 2016. (Round answer to 2 decimal places. Do not use dollar sig you must enter your answers with commas.) Current Ratio = Current Assets /v Current Liabilities 1,178,000 $ 289,200 4 What does this calculated ratio mean? (Round answer to 2 decimal places. Do not use dollar sign. you must enter your answers with commas.) Compute the return on assets ratio for 2016. (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amoun answers, you must enter your answers with commas.) Return on Assets = Net Income V Average Total Assets % What does this calculated ratio mean? (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. To see you must enter your answers with commas.) earns The Company % on each dollar invested assets V in its net income as every period. Before moving onto the next section, please do the following (for screen help, click on the hyperlinks below): 1. Scroll to the end of the page and click on the "Save for Later" button to save your work. 2. When you are ready to begin the next section, you can reference the work that you have completed by clicking on the "Printer Ve your saved answers in a new window to help you complete the next section. Complete these steps each time you have finished a section. Do not click on the "Submit Answers" button until you have completed a LINK TO TEXT Compute the return on common stockholders' equity ratio for 2016. (Round answer to 2 decimal places. Do not use dollar signs ($) w reflected in your final answers, you must enter your answers with commas.) Return on common stockholders' equity = Net Income Average Common Stockholders' Equity % URCES 3 Fall Inventory Turnover = Cost of Goods Sold V Average Inventory 1E $ times Study What does this calculated ratio mean? (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. To you must enter your answers with commas.) The Company sells its inventory an average of times a year/period. Before moving onto the next section, please do the following (for screen help, click on the hyperlinks below): 1. Scroll to the end of the page and click on the "Save for Later" button to save your work. 2. When you are ready to begin the next section, you can reference the work that you have completed by clicking on the "Printe your saved answers in a new window to help you complete the next section. Complete these steps each time you have finished a section. Do not click on the "Submit Answers" button until you have comples LINK TO TEXT Compute the profit margin ratio for 2016. (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. answers, you must enter your answers with commas.) Profit Margin = Net Income Net Sales % What does this calculated ratio mean? (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. To se you must enter your answers with commas.) irch O you must enter your answers with commas.) CES For every dollar of current liability the company needs to pay, it has $ of very to utilize. ady Before moving onto the next section, please do the following (for screen help, click on the hyperlinks below): 1. Scroll to the end of the page and click on the "Save for Later" button to save your work. 2. When you are ready to begin the next section, you can reference the work that you have completed by clicking on the "Printer Version" button your saved answers in a new window to help you complete the next section. Complete these steps each time you have finished a section. Do not click on the "Submit Answers" button until you have completed all of the sect LINK TO TEXT Compute the receivables turnover ratio for 2016. (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. To see ce final answers, you must enter your answers with commas.) Accounts Receivable Turnover Accounts Receivable V Average Net Accounts Receivable v $ 1$ times What does this calculated ratio mean? (Round answer to 2 decimal places. Do not use dollar signs ($) when entering amounts. To see comma-format you must enter your answers with commas.) The Company collects its accounts receivable an average of times a year/period. Before moving onto the next section, please do the following (for screen help, dick on the hyperlinks below): 1. Scroll to the end of the page and click on the "Save for Later" button to save your work 2. When you are ready to begin the next section, you can reference the work that you have completed by clicking on the "Printer Version" button at your saved answers in a new window to help you complete the next section. gi