Question: Data for Virtual Gaming Systems is provided in P12-4A. Earnings per share for the year ended December 31, 2012, are $1.30. The closing stock price on December 31, 2012, is $27.30.
Required: Calculate the following profitability ratios for 2012.
1. Gross profit ratio.
2. Return on assets.
3. Profit margin.
4. Asset turnover.
5. Return on equity.
6. Price-earnings ratio.