Question

Income Statement
Revenue
Total revenue	$470,100
Cost of Revenue	$149,700
Gross Profit	$320,100
Operating Exp
Selling General & Admin	$57,800
other	$17,400
Total Operating Exp	$269,900
Operating Income or Loss	$200,200
Income from Continuing Operations
Expenses Net/Total other Income	$114,400
Earnings before Int & Tax	$200,200
Interest Exp	-$32,200
Income before Tax	$314,600
Income Tax Exp	$100
Minority Interest	$23,300
Net Income from Continuing Ops	$314,500
Net Income	$295,300
Net Income applicable to common shares	$230,700
Balance Sheet
Current Assets
Cash and Cash Equ	$137,700
Net Receivables	$41,000
Inventory	$12,400
Total current assets	$203,600
Long term investments	$424,700
Property Plant & Equipment	$736,500
Other Assets	$1,700
Total Assets	$1,366,500
Current Liabilities
Accounts Payable	$15,600
Other Current Liabilities	$19,400
Total Current Liabilities	$54,900
Long term debt	$1,844,000
Other Liabilities	$9,200
Minority Interest	$23,300
Total Liabilities	$1,932,400
Stockholders' Equity
Common Stock	-$589,200
Total Stockholder Equity	-$589,200
Net Tangible assets	-$589,200

Based on the income statement and balance sheet above, answer the following (show work and formulas please)

1. Current Ratio = CA/CL =

2. Inventory Turnover

3. Total asset utilization (turnover)

4. Debt Ratio = Total debt (Liabilities)/ Total Assets

5. Debt to Equity ratio

6.  Basic earning power

7. ROE

Answer 1

Current ratio	3.71	times	Current assets/Current liabilities	=203600/54900
Inventory turnover	37.91	times	Sales/Inventory	=470100/12400
Total assets turnover	0.34	times	Sales/Total assets	=470100/1366500
Debt ratio	1.41	times	Total debt/Total assets	=1932400/1366500