please answer it before 12;00 Selected current year-end financial statements of Cabot Corporation follow. (All...
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Accounting
please answer it before 12;00
Selected current year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31 of the prior year were inventory, $52,900; total assets, $199,400; common stock, $84,000; and retained earnings, $37,234.)
CABOT CORPORATION
Balance Sheet
December 31 of current year
Assets
Liabilities and Equity
Cash
$ 10,000
Accounts payable
$ 17,500
Short-term investments
9,200
Accrued wages payable
3,200
Accounts receivable, net
31,200
Income taxes payable
4,300
Merchandise inventory
42,150
Long-term note payable, secured by mortgage on plant assets
71,400
Prepaid expenses
3,000
Common stock
84,000
Plant assets, net
150,300
Retained earnings
65,450
Total assets
$ 245,850
Total liabilities and equity
$ 245,850
CABOT CORPORATION
Income Statement
For Current Year Ended December 31
Sales
$ 448,600
Cost of goods sold
297,350
Gross profit
151,250
Operating expenses
99,500
Interest expense
4,500
Income before taxes
47,250
Income tax expense
19,034
Net income
$ 28,216
Required:
Compute the following: (1) current ratio, (2) acid-test ratio, (3) days' sales uncollected, (4) inventory turnover, (5) days' sales in inventory, (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio, (9) total asset turnover, (10) return on total assets, and (11) return on equity.
Note: Do not round intermediate calculations.
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