8 8 Required Information [The following information applies to the questions displayed below.] Part 2 of 2 Income statements and balance sheets data for Virtual Gaming Systems are provided below. eBook Print VIRTUAL GAMING SYSTEMS Income Statements For the years ended December 31 2022 2021 Net sales $3,548,eee $3,666,eee Cost of goods sold 2,486, eee 1,956,820 Gross profit 1,054, eee 1,110,000 1 Expenses: Operating expenses 961, eee 864.ee Depreciation expense 36, eee 30, cee Loss on sale of land 6 8,600 Interest expense 21, eee 18,600 Income tax expense 8,600 51,00 Total expenses 1,226,60 971,600 Net income $ $ 27,40 27,488 $ 138,400 VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2022 2021 2e2e $ 210,000 $192,882 $150,eee 84,880 87.000 66,00 134,80 111,080 141,eee 14,680 12,689 6,720 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investment in bonds Land Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Connon stock Retained earnings Total liabilities and stockholders' equity ' 111,000 111,000 3 386,680 216,000 246,eee 386,080 276,000 216,000 (114,880) (78,880) (48,eee) $1,651,669 $927,600 $927,682 $777,728 $ 139,880 $ 72,882 $127,520 1e, Bee 7,200 3,600 12,6ee 18.000 14,660 460,880 291,000 231, eee 386, see 386,880 3e6.ee 122,480 233,406 95.cee , $1,651,600 $927,600 $927,682 $777,720 2 Calculate the following profitability ratios for 2021 and 2022: (Round your answers to 1 decimal place.) 2022 % 2021 % % 1% Gross profit ratio Return on assets Profit margin Asset turnover % % times times