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Here are simplified financial statements for Phone Corporation in a recent year:

INCOME STATEMENT
(Figures in $ millions)
Net sales	$	13,500
Cost of goods sold		4,260
Other expenses		4,147
Depreciation		2,638
Earnings before interest and taxes (EBIT)	$	2,455
Interest expense		705
Income before tax	$	1,750
Taxes (at 30%)		525
Net income	$	1,225
Dividends	$	896

BALANCE SHEET
(Figures in $ millions)
	End of Year				Start of Year
Assets
Cash and marketable securities	$	93			$	162
Receivables		2,582				2,570
Inventories		207				258
Other current assets		887				952
Total current assets	$	3,769			$	3,942
Net property, plant, and equipment		20,013				19,955
Other long-term assets		4,256				3,810
Total assets	$	28,038			$	27,707
Liabilities and shareholders equity
Payables	$	2,604			$	3,080
Short-term debt		1,439				1,593
Other current liabilities		831				807
Total current liabilities	$	4,874			$	5,480
Long-term debt and leases		6,022				6,117
Other long-term liabilities		6,218				6,189
Shareholders equity		10,924				9,921
Total liabilities and shareholders equity	$	28,038			$	27,707

Calculate the following financial ratios for Phone Corporation: (Use 365 days in a year. Do not round intermediate calculations. Round your final answers to 2 decimal places.)

a. Return on equity (use average balance sheet figures) 12.00 % b. Return on assets (use average balance sheet figures) % c. Return on capital (use average balance sheet figures) % d. Days in inventory (use start-of-year balance sheet figures) days e. Inventory turnover (use start-of-year balance sheet figures) f. Average collection period (use start-of-year balance sheet figures) days g. Operating profit margin % h. Long-term debt ratio (use end-of-year balance sheet figures) i. Total debt ratio (use end-of-year balance sheet figures) j. Times interest earned k. Cash coverage ratio l. Current ratio (use end-of-year balance sheet figures) m. Quick ratio (use end-of-year balance sheet figures)

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