The financial statements of Carver News, Inc., include the following items:

{Requirements}
1. Compute the following ratios for 2020 and 2019.

a. Current ratio

b. Quick (acid-test) ratio

c. Inventory turnover and days' inventory outstanding (DIO)

d. Accounts receivable turnover

e. Days' sales in average receivables or days' sales outstanding (DSO)

f. Accounts payable turnover and days' payable outstanding (DPO). Use cost of goods sold in the formula for accounts payable turnover g. Cash conversion cycle (in days)
When computing days, round your answer to the nearest whole number.
2. Evaluate the company's liquidity and current debt-paying ability for 2020. Has it improved or deteriorated from 2019 ?
3. As a manager of this company, what would you try to improve next year?

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2020 2019 2018 Balance sheet: Cash Short-term investments... Net receivables. Inventory.. Prepaid expenses. $ 77,000 $103,000 13,000 27,000 81,000 84,000 30,000 88,000 75,000 60,000 12,000 6,000 Total current assets. Accounts payable. Tota current liabilities. Income statement: Net credit sales Cost of goods sold. 271,000 295,000 85,000 70,000 50,000 138,000 96,000 $491,000 $505,000 271,000 279,000