1) Refer to the following selected financial information from Fennie's, LLC. Compute the company's days' sales uncollected for Year 2. (Use 365 days a year.)

Year 2 Year 1 Cash $ 39,500 $ 34,250 Short-term investments 110,000 70,000 Accounts receivable, net 95,500 89,500 Merchandise inventory 131,000 135,000 Prepaid expenses 14,100 11,700 Plant assets 398,000 348,000 Accounts payable 103,400 117,800 Net sales 721,000 686,000 Cost of goods sold 400,000 385,000

A) 48.3

B) 46.7

C) 55.7

D) 87.1

E) 119.5

2) Use the following selected information from Farris, LLC to determine the Year 2 and Year 1 trend percents for cost of goods sold using Year 1 as the base.

Year 2 Year 1 Net sales $ 286,200 $ 233,400 Cost of goods sold 149,900 131,590 Operating expenses 53,240 51,240 Net earnings 30,020 21820

A) 122.6% for Year 2 and 100.0% for Year 1.

B) 35.5% for Year 2 and 38.9% for Year 1.

C) 52.4% for Year 2 and 56.4% for Year 1.

D) 113.9% for Year 2 and 100.0% for Year 1.

E) 68.3% for Year 2 and 64.6% for Year 1.

3) A company had a market price of $37.60 per share, earnings per share of $1.30, and dividends per share of $0.45. Its price-earnings ratio equals:

A) 32.1. B) 28.9. C) 34.9. D) 30.9. E) 27.6.

4) Use the following selected information from Farris, LLC to determine the Year 2 and Year 1 trend percents for net sales using Year 1 as the base.

Year 2 Year 1 Net sales $ 277,200 $ 231,600 Cost of goods sold 151,700 129,790 Operating expenses 55,040 53,040 Net earnings 28,220 20,020

A) 116.9% for Year 2 and 100.0% for Year 1.

B) 36.3% for Year 2 and 40.9% for Year 1.

C) 119.7% for Year 2 and 100.0% for Year 1.

D) 65.4% for Year 2 and 64.6% for Year 1.

E) 54.7% for Year 2 and 56.0% for Year 1.

5) Refer to the following selected financial information from Fennie's, LLC. Compute the company's acid-test ratio for Year 2.

Year 2 Year 1 Cash $ 38,000 $ 32,750 Short-term investments 95,000 62,500 Accounts receivable, net 88,000 82,000 Merchandise inventory 123,500 127,500 Prepaid expenses 12,600 10,200 Plant assets 390,500 340,500 Accounts payable 110,900 110,300 Net sales 713,500 678,500 Cost of goods sold 392,500 377,500

A) 3.11

B) 3.22

C) 2.36

D) 1.99

E) 2.11