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( Analyzing the quality of firm earnings ) Kabutell, Inc. had net income of $ 8 5 0 , 0 0 0 , cash flow

(Analyzing the quality of firm earnings) Kabutell, Inc. had net income of $850,000, cash flow from financing activities of $80,000, depreciation expenses
of $40,000, and cash flow from operating activities of $650,000.
a. Calculate the quality of earnings ratio. What does this ratio tell you?
b. Kabutell, Inc. reported the following in its annual reports for 2011-2013:
(Click on the icon . in order to copy its contents into a spreadsheet.)
Calculate the average capital acquisitions ratio over the three-year period. How would you interpret these results?
a. What is Kabutell's quality of earnings ratio?
%(Round to one decimal place.)
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