1. What is the firms fixed asset turnover ratio?

2. What is the firms inventory turnover ratio?

ASSETS Cash Accounts receivable Inventory Net plant and equipment Total assets $20,000 80,000 50.000 250.000 S400.000 LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable Accrued expenses Long-term debt Common stock Paid in capital Retained earnings Total liabilities and stockholders equity $40,000 60,000 130,000 100,000 10.000 $400,000 TEW COMPANY Income Statement For the year ended December 31 $500,000 200.000 $300,000 20.000 Sales (al on credit) Cost of goods sold Gross profit Sales and administrative expenses Forced lease expenses Depreciation Operating profit Interest expense Profit before taxes Taxes (3555 Net Income 3230,000 $210.000 $136,500 Refer to the tables above the firm's return on equity is 1365 O 575 O 340 e x ] N] 03wi P