Selected year-end financial statements of Cadet Corporation follow. (All sales a

Question

Selected year-end financial statements of Cadet Corporation follow. (All sales are on credit; selected balance sheet amounts at December 31, 2008, were inventory, $56,900; total assets, $219,400; common stock, $85,000; and retained earnings, $52,348.)

CADET CORPORATION
Income Statement
For Year Ended December 31, 2009
Sales $456,600
Cost of goods sold
297,450

Gross profit 159,150
Operating expenses 99,400
Interest expense
3,900

Income before taxes 55,850
Income taxes
22,499

Net income
$33,351


CADET CORPORATION
Balance Sheet
December 31, 2009
Assets Liabilities and Equity
Cash $20,000 Accounts payable $21,500
Short-term investments 8,200 Accrued wages payable 4,400
Accounts receivable, net 29,400 Income taxes payable 3,700
Notes receivable (trade)* 7,000 Long-term note payable, secured by mortgage on plant assets 67,400
Merchandise inventory 34,150 Common stock 85,000
Prepaid expenses 2,700 Retained earnings 66,750

Plant assets, net 147,300 Total liabilities and equity $248,750
Total assets $248,750


* These are short-term notes receivable arising from customer (trade) sales.

Required:
Compute the following: (Do not round interim calculations. Round your answers to 2 decimal places. Use a 365 day year for calculations. Omit the "%" sign in your response.)

1. Current ratio to
2. Acid-test ratio to
3. Days' sales uncollected days
4. Inventory turnover times
5. Days' sales in inventory days
6. Debt-to-equity ratio to
7. Times interest earned times
8. Profit margin ratio %
9. Total asset turnover times
10. Return on total assets %
11. Return on common stockholders' equity %

Explanation / Answer

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