The balance sheets for Plasma Screens Corporation and additional information are provided below. ...

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Accounting

The balance sheets for Plasma Screens Corporation and additional information are provided below.

PLASMA SCREENS CORPORATION Balance Sheets December 31, 2018 and 2017

2018

2017

Assets
Current assets:
Cash $ 116,800 $ 120,000
Accounts receivable 78,000 92,000
Inventory 95,000 80,000
Investments 4,000 2,000
Long-term assets:
Land 480,000 480,000
Equipment 790,000 670,000
Less: Accumulated depreciation (428,000) (268,000)
Total assets $ 1,135,800 $ 1,176,000
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 99,000 $ 85,000
Interest payable 6,000 12,000
Income tax payable 8,000 5,000
Long-term liabilities:
Notes payable 100,000 200,000
Stockholders' equity:
Common stock 700,000 700,000
Retained earnings 222,800 174,000
Total liabilities and stockholders' equity $ 1,135,800 $ 1,176,000

Additional information for 2018:

1. Net income is $48,800.

2. Sales on account are $1,521,500.

3. Cost of goods sold is $1,163,750.

Required:

1. Calculate the following profitability ratios for 2018: (Round your answers to 1 decimal place.)

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