1. Working capital Castile Products, Inc. Balance Sheet December 31 Assets Current assets Cash Accounts receivable. net Merchandise inventory Prepaid expenses Working capital S 64 S 22.000 200.000 340.000 11,000 Total current assets Property and equipment, net 573 000 890 000 Totalets $1,463,000 2. Current ratio. (Round your answer to 2 decimal places.) Llabilities and Stockholders' Equity L'abildes Current liabilities Bonds payable 10% S 220.000 380.000 Current ratio 600,000 Total liabilities Stockholders' equity. Common stock, $10 par value Retained earnings S 190.000 673,000 Total stockholders' equity 863,000 Total liabilities and equity $1.483.000 3. Acid-test ratio. (Round your answer to 2 decimal places.) Castile Products, Inc. Income Statement For the Year Ended December 31 Sales $3.010,000 Cost of goods sold 1,386,000 Acid-test ratio Gross margin Selling and administrative expenses 1624 000 500.000 Net operating income Interest expense 1,044,000 38,000 Net income before taxes Income taxes (3095) 1,006,000 301,800 4. Debt-to-equity ratio. (Round your answer to 2 decimal places.) Net Income $ 704,200 Debt-to-equity ratio Account balances at the beginning of the year were: accounts receivable, $230,000; and inventory, $320 000. All sales were on account 5. Times interest eamed ratio. (Round your answer to 2 decimal places.) Times interest earned ratio 6. Average collection period. (Use 365 days in a year. Round your answer to 1 decimal place.) Average collection period days 7. Average sale period. (Use 365 days in a year. Round your intermediate and final answer to 1 decimal place.) Average sale period days 8. Operating cycle. (Round your intermediate calculations and final answers to 1 decimal place.) Operating cycle days