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The following income statement and balance sheets for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2018

The following income statement and balance sheets for Virtual Gaming Systems are provided.

VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2018
Net sales $3,071,000
Cost of goods sold 1,957,000
Gross profit 1,114,000
Expenses:
Operating expenses $865,000
Depreciation expense 27,000
Loss on sale of land 8,700
Interest expense 18,500
Income tax expense 55,000
Total expenses 974,200
Net income $ 139,800

VIRTUAL GAMING SYSTEMS Balance Sheets December 31
2018 2017
Assets
Current assets:
Cash $193,000 $151,000
Accounts receivable 88,000 67,000
Inventory 112,000 142,000
Prepaid rent 12,700 6,840
Long-term assets:
Investment in bonds 112,000 0
Land 217,000 247,000
Equipment 277,000 217,000
Less: Accumulated depreciation (76,000) (49,000)
Total assets $935,700 $781,840
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 73,000 $ 122,940
Interest payable 7,400 3,700
Income tax payable 18,500 14,700
Long-term liabilities:
Notes payable 292,000 232,000
Stockholders' equity:
Common stock 307,000 307,000
Retained earnings 237,800 101,500
Total liabilities and stockholders equity $935,700 $781,840

Earnings per share for the year ended December 31, 2018, are $1.40. The closing stock price on December 31, 2018, is $28.00.

Required:

Calculate the following profitability ratios for 2018. (Round your answers to 1 decimal place.)

PROFITABILITY RATIOS

1. Gross profit ratio %
2. Return on assets %
3. Profit margin %
4. Asset turnover TIMES
5. Return on equity %
6. Price-earnings ratio

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