The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following summarized data Income Statement Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Interest Expense Income before Income Tax Expense Income Tax Expense (30%) Net Income Balance Sheet Cash Accounts Receivable, Net Inventory Property and equipment, Net Total Assets Accounts Payable Income Tax Payable Note Payable, Long-Term Total Liabilities Contributed Capital (9,250 shares) Retained Earnings! Total Liabilities and Shareholders' Equity 2017 2016 $129,000 $118,000 59,600 55,600 69,400 62,400 41,700 38,700 3,100 3,100 24,600 7,380 20,600 6,180 $ 17,220 $ 14,420 $49,537 $16,990 28,000 41,500 34,500 29,000 77,000 87,000 $189,037 $174,490 $ 26,507 $23,980 910 31,000 410 31,000 58,417 55,390 92,500 92,500 38,120 26,600 $189,037 $174,490 One-half of all sales are on credit. During 2017, cash dividends amounting to $5,700 were declared and paid. 'One-half of all sales are on credit. *During 2017, cash dividends amounting to $5,700 were declared and paid. Required: 1-a. Compute the net profit margin for 2017 and 2016. (Round your answers to 1 decimal place.) Net Profit 2017 2016 Margin % % 1-b. Is the trend going in the right direction? O Yes O No 2-a. Compute the earnings per share for 2017 and 2016. (Round your answers to 2 decimal places.) 2017 2016 Earnings per Share 2-b. Does the trend look good or bad? O Bad O Good 3-a. Compute the debt-to-assets ratios for 2017 and 2016. (Round your answers to 2 decimal places.) 2017 2016 Debt-to- Assets 3-b. Is debt providing financing for a larger or smaller proportion of the company's asset growth? O Smaller proportion O Larger proportion 4-a. Compute the times interest earned ratios for 2017 and 2016. (Round your answers to 1 decimal place.) 2017 2016 Times Interest Earned times i times 4-b. Does the outcome of ratio in 2017 appears to be good or bad for the company? O Good O Bad 5-a. After Pinnacle Plus released its 2017 financial statements, the company's shares were trading at $21.50. After the release of its 2016 financial statements, the company's share price was $19.00 per share. Compute the P/E ratios for both years. (Round intermediate calculations to 2 decimal places and final answers to 1 decimal place.) 2017 2016 Price/ Earnings 5-b. Does it appear that investors have become more (or less) optimistic about Pinnacle's future success? O More optimistic O Less optimistic