Cintas Corporation is the largest uniform supplier in North America. Selected information from its annual report follows. For the 2016 fiscal year, the company reported sales revenue of $4.9 billion and Cost of Goods Sold of $2.1 billion.

Required:

Assuming that all sales are on credit, compute the current ratio (two decimal places), inventory turnover ratio (one decimal place), and accounts receivable turnover ratio (one decimal place) for 2016. Explain what each ratio means for Cintas.

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2016 Fiscal Year 2015 Balance Sheet (amounts in millions) Cash and Cash Equivalents $210 $435 Accounts Receivable, Net 560 500 Inventory Prepaid Rent and Other Current Assets Accounts Payable 250 230 570 570 115 110 Salaries and Wages Payable Notes Payable (short-term) 100 90 250 Other Current Liabilities 350 310