I cant with this:f. Return on common stockholders’ equityHeeeelllppppp Six Measures of Solvency or ProfitabilityThe following data were taken from the financial statements of Gates Inc. for the current fiscal year.Property, plant, and equipment (net)$3,200,000Liabilities:Current liabilities$1,000,000Note payable, 6%, due in 15 years2,000,000Total liabilities$3,000,000Stockholders' equity:Preferred $10 stock, $100 par (no change during year)$1,000,000Common stock, $10 par (no change during year)2,000,000Retained earnings:Balance, beginning of year$1,570.000Net income930,000Preferred dividends(100,000)Common dividends(400,000)Balance, end of year2,000,000Total stockholders' equity$5,000,000Sales$18,900,000Interest expense$120,000Assuming that long-term investments totaled $3,000,000 throughout the year and that total assets were $7,000,000 at the beginning of the current fiscal year, determine the following. Round to one decimal place.a. Ratio of fixed assets to long-term liabilities1.6b. Ratio of liabilities to stockholders' equity0.60.6 Vc. Asset turnover4.2d. Return on total assets14 v %e. Return on stockholders' equity19.4 V %f. Return on common stockholders' equity24.4 X %

Formula: Return on common stockholders equity = ( Net income - preferred dividend ) / Average common…

The following data were taken from the financial statements of Gates Inc. for the current fiscal year. Property, plant, and equipment (net) $3,200,000 Liabilities: Current liabilities $1,000,000 Note payable, 6%, due in 15 years 2,000,000 Total liabilities $3,000,000 Stockholders' equity: Preferred $10 stock, $100 par (no change during year) $1,000,000 Common stock, $10 par (no change during year) 2,000,000 Retained earnings:

The following data were taken from the financial statements of Gates Inc. for the current fiscal year. Property, plant, and equipment (net) $3,200,000 Liabilities: Current liabilities $1,000,000 Note payable, 6%, due in 15 years 2,000,000 Total liabilities $3,000,000 Stockholders' equity: Preferred $10 stock, $100 par (no change during year) $1,000,000 Common stock, $10 par (no change during year) 2,000,000 Retained earnings:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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