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Six Measures of Solvency or Profitability

The following data were taken from the financial statements of Gates Inc. for the current fiscal year.

Property, plant, and equipment (net)						$1,715,400
Liabilities:
	Current liabilities			$190,000
	Note payable, 6%, due in 15 years			953,000
	Total liabilities					$1,143,000
Stockholders' equity:
	Preferred $4 stock, $100 par (no change during year)					$1,714,500
	Common stock, $10 par (no change during year)					1,714,500
Retained earnings:
	Balance, beginning of year	$1,828,000
	Net income	567,000		$2,395,000
	Preferred dividends	$68,580
	Common dividends	40,420		109,000
	Balance, end of year					2,286,000
Total stockholders' equity						$5,715,000
Sales						$32,095,200
Interest expense						$57,180

Assuming that total assets were $6,515,000 at the beginning of the current fiscal year, determine the following. When required, round to one decimal place.

a. Ratio of fixed assets to long-term liabilities
b. Ratio of liabilities to stockholders' equity
c. Asset turnover
d. Return on total assets	%
e. Return on stockholders equity	%
f. Return on common stockholders' equity	%

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