Help with req, 4,5,6,7 and 8. Thank you Sedona Corporation declared and paid a cash dividend of $6,800 in the current year. Its comparative financial statements, prepared atDecember 31, reported the following summarized information:Current Year Previous YearIncome Statement$ 120,00056,00064,00038,0004,20021,8006,540$ 107,00052,00055,00034,6004,20016,2004,860$ 11,340Sales RevenueCost of Goods SoldGross ProfitOperating ExpensesInterest ExpenseIncome before Income Tax ExpenseIncome Tax Expense (30%)Net Income$ 15,260Balance Sheet$ 36,00014,00040,000107,000$ 197,000$ 34,80060042,00077,40091,20028,400CashAccounts Receivable, NetInventoryProperty and Equipment, Net$ 72,11019,00027,00097,000Total Assets$ 215,110Accounts PayableIncome Tax PayableNotes Payable (long-term)Total LiabilitiesCommon Stock (par $10)Retained Earnings$ 44,0001,05042,00087,05091,20036,860Total Liabilities and Stockholders' Equity$ 215,110$ 197,000 Required:1. Compute the gross profit percentage in the current and previous years. Are the current-year results better, or worse, than those forthe previous year?2. Compute the net profit margin for the current and previous years. Are the current-year results better, or worse, than those for theprevious year?3. Compute the earnings per share for the current and previous years. Are the current-year results better, or worse, than those for theprevious year?4. Stockholders' equity totaled $102,000 at the beginning of the previous year. Compute the return on equity (ROE) ratios for thecurrent and previous years. Are the current-year results better, or worse, than those for the previous year?5. Net property and equipment totaled $112,000 at the beginning of the previous year. Compute the fixed asset turnover ratios for thecurrent and previous years. Are the current-year results better, or worse, than those for the previous year?6. Compute the debt-to-assets ratios for the current and previous years. Is debt providing financing for a larger or smaller proportion ofthe company's asset growth?7. Compute the times interest earned ratios for the current and previous years. Are the current-year results better, or worse, than thosefor the previous year?8. After Sedona Corporation released its current year's financial statements, the company's stock was trading at $20. After the releaseof its previous year's financial statements, the company's stock price was $17 per share. Compute the P/E ratios for both years. Doesit appear that investors have become more (or less) optimistic about Sedona's future success?Complete this question by entering your answers in the tabs below.Required 1Required 2Required 3Required 4Required 5Required 6Required 7Required 84-a. Stockholders' equity totaled $102,000 at the beginning of the previous year. Compute the return on equity (ROE) ratiosfor the current and previous years. (Round percentage values to 1 decimal place.)4-b. Are the current-year results better, or worse, than those for the previous year?4-a. Current Year0.5 %4-a. Previous Year%4-b. Current year return on equity ratio?< Required 3Required 5 >

Since, you have specifically asked for parts 4 to 8, we will solve 1st three from 4 to 8. To get the…

Sedona Corporation declared and paid a cash dividend of $6,800 in the current year. Its comparative financial statements, prepared at December 31, reported the following summarized information: Current Year Previous Year Income Statement $ 120,000 56,000 64,000 38,000 4,200 21,800 6,540 $ 15,260 $ 107,000 52,000 55,000 34,600 4,200 16,200 4,860 $ 11,340 Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Interest Expense Income before Income Tax Expense Income Tax Expense (30%) Net Income Balance Sheet $ 72,110 19,000 27,000 97,000 $ 215,110 $ 44,000 1,050 42,000 87,050 91,200 36,860 $ 36,000 14,000 40,000 107,000 $ 197,000 $ 34,800 600 42,000 77,400 91,200 28,400 $ 197,000 Cash Accounts Receivable, Net Inventory Property and Equipment, Net Total Assets Accounts Payable Income Tax Payable Notes Payable (long-term) Total Liabilities Common Stock (par $10) Retained Earnings Total Liabilities and Stockholders' Equity $ 215,110