1. Selected data from Oslo Corporations year-end financial statements are presented below.

Current ratio 2.0

Quick ratio 1.5

Current liabilities $120,000

Inventory turnover 8 times

Gross profit margin 40%

What were Oslos net sales for the year?

Note 1: Assume that total current assets include cash, marketable securities, accounts receivable, and inventory.

Note 2: Assume there was no material difference between average and ending inventory.

2. Post Corporation purchases from suppliers on net 30 day terms, has an Accounts Receivable Turnover of 8.11 times, and an Inventory Turnover of 14.6 times. What is the cash conversion cycle?

3. On January 1, 2014 Creek Company's beginning inventory was $500,000. During 2014 the company purchased $2,400,000 of additional inventory, and on December 31, 2014 Creek's ending inventory was $300,000.

What was Creek's inventory turnover for 2014?

4. Vince Corporation has current assets of $300,000 and current liabilities of $175,000.

Compute the effect of each of the following transactions on Vince's current ratio:

Refinanced a $50,000 long-term mortgage with a short-term note.

Purchasing $80,000 of merchandise inventory with short-term accounts payable.

Paying $30,000 of short-term accounts payable.

Collecting $40,000 of short-term accounts receivable.

5. Information from Hope Company's records for the year ended December 31, 2015 is available as follows:

Net sales	$2,800,000
Cost of goods manufactures:
Variable	$1,260,000
Fixed	$630,000
Operating expenses:
Variable	$196,000
Fixed	$240,000
Units manufactured	$70,000
Units sold	$60,000
Finished goods inventory, 1/1/2015	$0

Hope had no work-in-process inventories at either the beginning or end of 2015.

Required:

What would be Hope's finished goods inventory cost under the variable (direct) costing method at December 31, 2015?

What would Hope's operating income be under the absorption costing method?

please show all calculation so i can understand the solution.