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Wilberton's has total assets of $537,800, net fixed assets of $412,400, long-term debt of $323,900, and total debt of $388,700. If inventory is $173,900, what is the current ratio?

Current ratio = ($537,800 - 412,400) / ($388,700 - 323,900) = 1.94

Philippe Organic Farms has total assets of $689,400, long-term debt of $198,375, total equity of $364.182, net fixed assets of $512,100, and sales of $1,021,500. The profit margin is 6.2 percent. What is the current ratio?

Current ratio = ($689,400 — 512,100) / ($689,400 - 364,182 - 198,375) = 1.40

A firm has sales of $811,000 for the year. The profit margin is 5.1 percent and the retention ratio is 56 percent. What is the common-size percentage for the dividends paid?

Dividends paid common-size percentage = [$811,000 ×.051 × (1 - .56)] / $811,000 = .0224, or 2.24 percent

BR Trucking has total sales of $911,300, a total asset turnover of 1.1, and a profit margin of 5.87 percent. Currently, the firm has 18,500 shares outstanding. What are the earnings per share?

Earnings per share = (.0587 ×$911,300)/18,500 = $2.89

Rogers Radiators has net income of $48,200, sales of $947,100, a capital intensity ratio of .87, and an equity multiplier of 1.53. What is the return on equity?

Return on equity = x (1/.87) x 1.53 - .0895, or 8.95 percent

Turner's Store had a profit margin of 6.8 percent, sales of $498,200, and total assets of $542,000. If management set a goal of increasing the total asset turnover to 1.10 times, what would the new sales figure need to be, assuming no increase in total assets?

$596,200 Explanation Total asset turnover = 1.10 x $542,000 = $596,200

For the most recent year, Wilson Enterprises had sales of $689,000, cost of goods sold of $492,300, depreciation expense of $61,200, additions to retained earnings of $48,560, and dividends per share of $2.18. There are 12,000 shares of common stock outstanding and the tax rate is 35 percent. What is the times interest earned ratio?

659

Saki Kale Farms has net income of $96,320, total assets of $975,200, total equity of $555,280, and total sales of $1,141,275. What is the common-size percentage for the net income?

8.44 percent Explanation Net income common-size percentage = $96,320 / $1,141,275 = .0844, or 8.44 percent

Adell Furniture has a profit margin of 8.2 percent on sales of $211,000. The common size ratio of dividends is .03 and total assets are $196,000. What is the plowback ratio?

Plowback ratio = ((.082 x $211,000) - (.03 x $211,000)] / (.082 x $211,000) = .6341, or 63.41 percent