Cascabel Corporation

Balance Sheet

December 31, 2012

Assets Liabilities and stockholders' equity

Current assets Current liabilities

Cash 2 Accounts payable 36

Short-term investments 10 Accrued liabilities 25

Accounts receivable 52 Total current liabilities 61

Inventory 57 Deferred income taxes 20

Other current assets 8 Long-term debt 82

Total current assets 129 Total liabilities 163

Long-term assets Stockholders' equity

Net PPE 65 Common stock and PIC 110

Goodwill 130 Retained earnings 51

Total stockholders' equity 161

Total assets 324 Total liabilities and equity 324

Cascabel Corporation

Income Statement

For the Year Ended December 31, 2012

Net sales $345

Cost of goods sold 248

Gross profit $ 97

Operating expenses 74

Operating profit $ 23

Interest expense 8

Earnings before taxes $ 15

Income tax expense 4

Net profit $ 11

Cascabel Corporation

Statement of Cash Flow Information

For the Year Ended December 31, 2012

Cash from operating activities $20

Investing activities:

Capital expenditures $25

Acquisitions $ 9

Financing activities:

Proceeds from long-term borrowing $12

Payments on long-term borrowing $31

Payments of cash dividends $ 6

Cash paid for interest $ 9

Cash paid for income taxes $ 5

16. Cascabels current ratio is:

a. .47

b. 2.11

c. 1.18

d. 1.79

17. Cascabel's cash flow liquidity ratio is:

a. .52

b. .36

c. 1.91

d. .33

18. Cascabel's cash conversion cycle is:

a. 82 days

b. 24 days

c. 192 days

d. 86 days

19. Cascabel's fixed asset turnover ratio is:

a. 5.31

b. .19

c. 5.91

d. .17

20. Cascabel's cash interest coverage ratio is:

a. 2.50

b. 3.50

c. 3.78

d. 4.50

21. Cascabel's cash flow adequacy ratio is:

a. 3.10

b. .32

c. .28

d. .21

22. Cascabel's operating profit margin is:

a. 5.80%

b. 4.35%

c. 3.19%

d. 6.67%

23. Cascabel's effective tax rate is:

a. 26.67%

b. 36.36%

c. 35.00%

d. 33.33%

24. Cascabel's cash flow margin is:

a. 1.81%

b. .58%

c. 5.80%

d. 3.48%

25. Cascabel's cash return on assets is:

a. 0.62%

b. 15.5%

c. 6.17%

d. 10.49%