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CABOT CORPORATION Income Statement For Current Year Ended December 31 Sales $ 455,600 Cost of goods sold 297,150 Gross profit 158,45 Operating expenses 99,600 Interest expense 4,200 Income before taxes 54,650 Income tax expense 22,015 Net income $ 32,635 $ Assets Cash Short-term investments Accounts receivable, net Merchandise inventory CABOT CORPORATION Balance Sheet December 31 Liabilities and Equity $ 20,000 Accounts payable 9,200 Accrued wages payable 28,800 Income taxes payable 34,150 Long-term note payable, secured by mortgage on plant assets 3,000 Common stock 153,300 Retained earnings $ 248,450 Total liabilities and equity 15,500 4,800 4,500 65,400 Prepaid expenses Plant assets, net Total assets 86,000 72,250 $ 248,450 Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inv (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11 on common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Req 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Reg 11 Compute the debt-to-equity ratio. (6) Debt-to-Equity Ratio Choose Denominator: Choose Numerator: 1 Debt-to-Equity Ratio Debt-to-equity ratio / = olto 1 Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Reg 4 Req 5 Req 6 Req 7 Reg 8 Req 9 Compute the profit margin ratio. (8) Profit Margin Ratio Choose Denominator: Choose Numerator: 1 / Profit margin ratio Profit margin ratio 0 % / Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Reg 4 Req 5 Req 6 Req 7 Req 8 Req 9 Req 10 Req 11 Compute the return on total assets. (10) Return on Total Assets Choose Numerator: / Choose Denominator: Return on Total Assets / Return on total assets 7 0 % Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inven (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11) re on common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Reg 4 Reg 5 Reg 6 Req 7 Req 8 Req 9 Reg 10 Req 11 Compute the days' sales in inventory. (5) Days' Sales in Inventory Choose Denominator: Choose Numerator: 1 Days / Days' Sales in Inventory Days' sales in inventory 0 days /

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