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The following data were taken from the financial statements of Gates Inc. for the current fiscal year. Property, plant, and equipment (net) $1,654,200 Liabilities: Current
The following data were taken from the financial statements of Gates Inc. for the current fiscal year.
Property, plant, and equipment (net) | $1,654,200 | |||||
Liabilities: | ||||||
Current liabilities | $185,000 | |||||
Note payable, 6%, due in 15 years | 919,000 | |||||
Total liabilities | $1,104,000 | |||||
Stockholders' equity: | ||||||
Preferred $4 stock, $100 par (no change during year) | $1,104,000 | |||||
Common stock, $10 par (no change during year) | 1,104,000 | |||||
Retained earnings: | ||||||
Balance, beginning of year | $1,178,000 | |||||
Net income | 407,000 | $1,585,000 | ||||
Preferred dividends | $44,160 | |||||
Common dividends | 68,840 | 113,000 | ||||
Balance, end of year | 1,472,000 | |||||
Total stockholders' equity | $3,680,000 | |||||
Sales | $10,908,000 | |||||
Interest expense | $55,140 |
Assuming that long-term investments totaled $2,392,000 throughout the year and that total assets were $4,545,000 at the beginning of the current fiscal year, determine the following. When required, round to one decimal place.
a. Ratio of fixed assets to long-term liabilities | |
b. Ratio of liabilities to stockholders' equity | |
c. Asset turnover | |
d. Return on total assets | % |
e. Return on stockholders equity | % |
f. Return on common stockholders' equity |
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