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The current year financial statements for Blue Water Company and Prime Fish Company are presented below. Blue Water Prime Fish Balance sheet Cash $ 42,400

The current year financial statements for Blue Water Company and Prime Fish Company are presented below.

Blue Water Prime Fish
Balance sheet
Cash $ 42,400 $ 19,600
Accounts receivable (net) 45,000 35,200
Inventory 92,000 48,400
Property & equipment (net) 161,000 417,800
Other assets 85,400 319,000
Total assets $ 425,800 $ 840,000
Current liabilities $ 92,000 $ 70,000
Long-term debt (interest rate: 10%) 74,800 62,800
Capital stock ($10 par value) 157,800 526,000
Additional paid-in capital 30,400 107,400
Retained earnings 70,800 73,800
Total liabilities and stockholders equity $ 425,800 $ 840,000
Income statement
Sales revenue (1/3 on credit) $ 426,000 $ 788,000
Cost of goods sold (234,000) (401,400)
Operating expenses (163,800) (312,400)
Net income $ 28,200 $ 74,200
Other data
Per share stock price at end of current year $ 23.4 $ 29
Average income tax rate 30% 30%
Dividends declared and paid in current year $ 34,400 $ 155,000

Both companies are in the fish catching and manufacturing business. Both have been in business approximately 10 years, and each has had steady growth. The management of each has a different viewpoint in many respects. Blue Water is more conservative, and as its president has said, We avoid what we consider to be undue risk. Neither company is publicly held.

Required:

1. Using year-end balances for all ratios, compute the following ratios:

Note: Round your intermediate calculations and final answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34).

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