Gaines Company Comparative Balance Sheet December 31 20X3 20X2Assets Cash 25,000 40,000 Short-term Investments 15,000 60,000Accounts Receivable Net 50,000 30,000 Inventory 50,000 70,000Property Plant and Equipemt (net) 260,000 300,000 Total Assets400,000 500,000 Liabilities and Stockholders Equity AccountsPayable 20,000 30,000 Short-term notes Payable 30,000 90,000 BondsPayable 90,000 160,000 Common Stock 150,000 150,000 RetainedEarnings 110,000 70,000 Total Liabilities and stockholders equity400,000 500,000 Income Statement For the Year Ended December 31,20X3 Net Sales 400,000 Cost of Goods Sold 240,000 Gross Profit160,000 Expenses: Operating Expense 42,000 Interest Expense 18,000Total Expenses 60,000 Income before Income Taxes 100,000 Income Taxexpense 30,000 Net Income 70,000 Additional Information: a. CashDividends of $30,000 were declared and Paid in 20x3 b.Weighted-average number of shares of common stock outsanding during20X3 was 30,000 shares. c. Market Value of Common Stock on December31 20X3 was $21 per share

Compute thefollowing ratios for Gaines Company for 20X3
. Current ratio
. Return on common stckholders equity
. Price -earning ratio
. Acid -test ratio
. Receivabke turnover
2. Refer to Problem #1 -Compute the following ratios for Gaines Company for 20X3:
. Times interest earned
. Profit Margin
. Days in Inventory
. Payout ratio
. Return on assets