The comparative statement of PainterTool Company are presented below

PAINTER TOOL COMPANY

Income Statement

For the Years Ended December 31

2017 2016

Net sales $1,818,500 $1,750,500

Cost of goods sold 1,011,500 996,000

Gross profit 807,000 754,500

Selling and administrative expenses 499,000 479,000

308,000 275,500

Income from operations

Other expenses and losses

Interest expense 18,000 14,000

Income before income taxes 290,000 261,500

Income tax expense 87,000 77,000

Net Income $203,000 $184,500

PAINTER TOOLS COMPANY

Balance Sheets

December 31

Assets 2017 2016

Current assets

Cash $60,100 $64,200

Short term investments 69,000. 50,000

Accounts receivable (net) 107,800. 102,800

Inventory 133,000 115,500

Total current assets 369,900 332,500

Plant assets (net) 600,300 520,300

Total assets $970,200 $852,800

Liabilities and Stockholders' Equity

Current liabilities

Accounts payable $160,000 $145,400

Income taxes payable 43,500 42,000

Total current liabilities 203,500 187,400

Bonds payable 200,000 200,000

Total liabilities 403,500 387,400

Stockholders' equity

Common stock ($5 par) 280,000 300,000

Retained earnings 286,700 165,400

Total stockholders' equity 566,700 465,400

Total liabilities and stockholders' equity $970,200 $852,800

All sales were on account.

Instructions

Compute the following ratios for 2017. (Weighted -average common shares in 2017 were 57,000.)

(a) Earnings per share.

(b) Return on common stockholders' equity.

(c) Return on assets.

(d) Current ratio.

(e) Acid- test ratio.

(f) Accounts receivable turnover.

(g) Inventory turnover.

(h) Times interest earned.

(i) Asset turnover.

(j) Debt to asset ratio.