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3. The Elegant Dump Inn has the below ratios: Retum on Equity: 10% Total Asset Turnover: 1.5 Profit Margin: 5% Total Assets are $5,000,000 and

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3. The Elegant Dump Inn has the below ratios: Retum on Equity: 10% Total Asset Turnover: 1.5 Profit Margin: 5% Total Assets are $5,000,000 and the numbers on the balance sheet have remained constant for the last 2 years What are the Inn's annual sales? What are the Inn's net income? What is the amount of the Inn's total debt (liabilities)? 4. Using the below information calculate food cost percentage and inventory turnover ratio: Beginning Inventory: $15,000 Ending Inventory: $5,000 Purchases: $7.000 Employee Meals: $1000 Food Sales: $60,000 5. Explain what each of the below means (example: "A Current Ratio of 1.5 means that for every $1.00 of current liabilities, you have $1.50 of current assets : Accounts Receivable Tumover of 8.0 Debt to Equity Ratio of 5 Debt Service Coverage Ratio of 4.0 Profit Margin of 15% Labor Cost of 40% Beverage Cost of 30% Operating Cash Flow to Total Liabilities of 55%

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