The condensed financial statements of Sandhill Co. for the years 2021 and 2022 are presented as follows. (Amounts in thousands.) Current assets Cash and cash equivalents Accounts receivable (net) Inventory Prepaid expenses Total current assets SANDHILL CO. Balance Sheets December 31 Investments 2022 $330 550 500 120 1,500 90 2021 $360 480 430 160 1,430 90

SANDHILL CO. Income Statements For the Year Ended December 31 \begin{tabular}{lrrr} & 2022 & & 2021 \\ Sales revenue & $3,840 & $3,500 \\ Costs and expenses & & \\ Cost of goods sold & 1,035 & & 970 \\ Selling \& administrative expenses & 2,400 & & 2,330 \\ Interest expense & 25 & & 20 \\ Total costs and expenses & 3,460 & & 3,320 \\ Income before income taxes & 380 & & 180 \\ Income tax expense & 114 & & 54 \\ Net income & $266 & & $126 \\ \hline \end{tabular} 2022 2021 Current ratio. :1 :1 Inventory turnover. times times Profit margin. % % Return on assets. % % Return on common stockholders' equity. % % Debt to assets ratio. % % Times interest earned. times times Compute the following ratios for 2022 and 2021. (Round current ratio and inventory turnover to 2 decimal places, e.g. 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 12.6%.) (a) Current ratio. (b) Inventory turnover. (Inventory on 12/31/20 was \$380.) (c) Profit margin. (d) Return on assets. (Assets on 12/31/20 were $2,690.) (e) Return on common stockholders' equity. (Stockholders' equity on 12/31/20 was \$920.) (f) Debt to assets ratio. (g) Times interest earned. \begin{tabular}{|c|c|c|} \hline Prepaid expenses & 120 & 160 \\ \hline Total current assets & 1,500 & 1,430 \\ \hline Investments & 90 & 90 \\ \hline Property, plant, and equipment (net) & 420 & 380 \\ \hline Intangibles and other assets & 530 & 510 \\ \hline Total assets & $2,540 & $2,410 \\ \hline Current liabilities & $980 & $870 \\ \hline Long-term liabilities & 450 & 420 \\ \hline Stockholders' equity-common & 1,110 & 1,120 \\ \hline Total liabilities and stockholders' equity & $2,540 & $2,410 \\ \hline \end{tabular}