Current Year Preceding Year

Balance Sheet

Cash $$40,000$ $$23,000$ COMPUTE THE FOLLOWING RATIOS:

Short$-$term Investments $17,00025,832$

Accounts Receivable $60,00054,000$ WORKING CAPITAL

Merchandise Inventory $40,00038,000$ CURRENT RATIO

Prepaid Expenses $13,00010,000$ ACID $-$ TEST RATIO

Total Current Assets $190,000205,000$ INVENTORY TURNOVER

Total Current Liabilities $129,00093,000$ DAYS IN INVENTORY

Income Statement AR TURNOVER RATIO

Net Credit Sales $479,000$ GROSS PROFIT RATIO

Cost of Goods Sold $365,000$