Question

Nineteen Measures of Solvency and Profitability

The comparative financial statements of Blige Inc. are asfollows. The market price of Blige Inc. common stock was $59 onDecember 31, 2014.

Blige Inc.
Comparative Retained EarningsStatement
For the Years Ended December 31, 2014 and2013
			2014		2013
Retained earnings, January 1			$1,409,100		$1,196,600
Add net income for year			334,400		245,100
Total			$1,743,500		$1,441,700
Deduct dividends
	On preferred stock		$10,500		$10,500
	On common stock		22,100		22,100
		Total	$32,600		$32,600
Retained earnings, December 31			$1,710,900		$1,409,100

Blige Inc.
Comparative Income Statement
For the Years Ended December 31, 2014 and2013
	2014		2013
Sales	$2,021,210		$1,859,500
Sales returns and allowances	10,060		6,540
Net sales	$2,011,150		$1,852,960
Cost of goods sold	747,520		687,720
Gross profit	$1,263,630		$1,165,240
Selling expenses	$421,760		$527,180
Administrative expenses	359,270		309,620
Total operating expenses	781,030		836,800
Income from operations	$482,600		$328,440
Other income	25,400		20,960
	$508,000		$349,400
Other expense (interest)	128,000		70,400
Income before income tax	$380,000		$279,000
Income tax expense	45,600		33,900
Net income	$334,400		$245,100

Blige Inc.
Comparative Balance Sheet
December 31, 2014 and 2013
			Dec. 31,2014		Dec. 31,2013
Assets
Current assets
	Cash		$323,880		$344,370
	Temporary investments		490,200		570,680
	Accounts receivable (net)		357,700		335,800
	Inventories		262,800		204,400
	Prepaid expenses		61,269		68,870
		Total current assets	$1,495,849		$1,524,120
Long-term investments			890,861		321,241
Property, plant, and equipment (net)			2,080,000		1,872,000
Total assets			$4,466,710		$3,717,361
Liabilities
Current liabilities			$515,810		$788,261
Long-term liabilities
	Mortgage note payable, 8%, due 2019		$720,000		$0
	Bonds payable, 8%, due 2015		880,000		880,000
		Total long-term liabilities	$1,600,000		$880,000
Total liabilities			$2,115,810		$1,668,261
Stockholders' Equity
Preferred $0.70 stock, $20 par			$300,000		$300,000
Common stock, $10 par			340,000		340,000
Retained earnings			1,710,900		1,409,100
	Total stockholders' equity		$2,350,900		$2,049,100
Total liabilities and stockholders' equity			$4,466,710		$3,717,361

Required:

Determine the following measures for 2014, rounding to onedecimal place, except for dollar amounts, which should be roundedto the nearest cent. Use the rounded answer of the requirement forsubsequent requirement, if required. Assume 365 days a year.

1. Working capital	$
2. Current ratio
3. Quick ratio
4. Accounts receivable turnover
5. Number of days' sales in receivables		days
6. Inventory turnover
7. Number of days' sales in inventory		days
8. Ratio of fixed assets to long-termliabilities
9. Ratio of liabilities to stockholders'equity
10. Number of times interest charges areearned
11. Number of times preferred dividends areearned
12. Ratio of net sales to assets
13. Rate earned on total assets		%
14. Rate earned on stockholders' equity		%
15. Rate earned on common stockholders'equity		%
16. Earnings per share on common stock	$
17. Price-earnings ratio
18. Dividends per share of common stock	$
19. Dividend yield		%