Financial Ratios for Short-Term Creditors [LO3]

Refer to the data in Exercise 15–2 for Heritage Antiquing Services.

Required:

Compute the following financial data for short-term creditors for this year:

1. Working c apital.

2. Current r atio.

3. Acid-test r atio.

4. Accounts r eceivable t urnover.

5. Average c ollection pe riod.

6. Inventory t urnover.

7. Average s ale pe riod.