1- In 2016, the Allen Corporation had sales of $ 67 million, total assets of $ 46 million, and total liabilities of $ 24 million. The interest rate on the company's debt is 6.1 percent, and its tax rate is 35 percent. The operating profit margin is 11 percent.

a. Compute the firm's 2016 net operating income and net income.

b. Calculate the firm's operating return on assets and return on equity. (Hint: You can assume that interest must be paid on all of the firm's liabilities.)

2- The Brenmar Sales Company had a gross profit margin (gross profits divided by sales) of 35 percent and sales of $ 9.9 million last year. 76 percent of the firm's sales are on credit, and the remainder are cash sales. Brenmar's current assets equal $ 1.7 million, its current liabilities equal $ 302 comma 400, and it has $ 108 comma 000 in cash plus marketable securities.

a.If Brenmar's accounts receivable equal $ 562 comma 000, what is its average collection period?

b.If Brenmar reduces its average collection period to 15 days, what will be its new level of accounts receivable?

c. Brenmar's inventory turnover ratio is 8.3 times.What is the level of Brenmar's inventories?