Compute selected ratios. LO 2) E18-7 Frizell Company has the following comparative balance sheet data. FRIZELL COMPANY Balance Sheets December 31 2017 2016 Accounts receivable (net) Inventory Plant assets (net) 15,000 70,000 60,000 200,000 $345,000 S 30,000 60,000 50,000 180,000 $320,000 Accounts payable Mortgage payable (696) Common stock, $10 par Retained earnings $ 50,000 100,000 140,000 55,000 $345,000 60,000 100,000 120,000 40,000 $320,000 Additional information for 2017: 1. Net income was $25,000. 2. Sales on account were $410,000. Sales returns and allowances were $20,000. 3. Cost of goods sold was Instructions Compute the following ratios at December 31, 2017. (a) Current ratio. (b) Acid-test ratio. (d) Inventory turnover E18-8 Selected comparative statement data for Queen Products Company are presented below. All balance sheet data are as of December 31. (c) Accounts receivable turnover Compute selected ratios (LO 2) 2017 $750,000 2016 Net sales Cost of goods sold Interest expense Net income Accounts receivable Inventory Total assets 480,000$720,000 5,000 42,000 100,000 75,000 500,000 440,000 7,000 45,000 120,000 85,000 580,000