College of Business Administration Academic Year 2020-2021, Summer Semester Principles of Accounting 11 Assignment 4 CLOS The following data are from Stone, Inc., financial statements. The firm manufactures home decorative material Sales during 2020 were $30 million of which 79% were on credit and the cost of sales represents 50% of the credit sales. Asset Turnover Total debe to assets 40 Current ratio Inventory turnover 10 times Accounts receivable turnover Stone Inc: A summarired Balance Sheets at Dec. 31.2020 Assets (S) Liabilities and Equities Cash Current Liabilities Accounts Receivable Long term Liabilities Inventory Total Liabilities Total Current Assets 10,000,000 Plant and Equipment Shareholders'Equity Total Assets Total Liabilities & Equities Required: 1. Apply ratio analysis to compute the missing information and fill in the balance sheet items. (z marks: 5 marks for values and 2 marks for complete computation) 2. Comment on the liquidity and profitability of this company