Exhibit 1 Florence Farm, Inc. has total assets of $15.4 million of which $6.2 million are current assets. Cash makes up 18 percent of the current assets and accounts receivable makes up another 40 percent of current assets. Florence Farms gross plant and equipment has an original cost of $10.35 million and other long-term assets have a cost value of $1.5 million.

Use Exhibit 1. What is the balance of inventory on Florence Farms balance sheet?

A. less than $2.40 million

B. more than $2.40 million but less than $2.48 million

C. more than $2.48 million but less than $2.56 million

D. more than $2.56 million but less than $2.64 million

E. more than $2.64 million

Use Exhibit 1. What is the balance of depreciation on Florence Farms balance sheet?

A. less than $2.35 million

B. more than $2.35 million but less than $2.60 million

C. more than $2.60 million but less than $2.85 million

D. more than $2.85 million but less than $3.10 million

E. more than $3.10 million

Garden Fences, Inc. began the year 2017 with $12.5 million in retained earnings. Although the firm suffered a net loss of $2.4 million in 2017 it paid $1.2 million to its preferred stockholders. If the year-end 2017 balance in retained earnings for Garden Fences is $8.45 million, how much did the firm pay out in dividends to its common stockholders? A. less than $470,000

B. more than $470,000 but less than $525,000

C. more than $525,000 but less than $580,000 D. more than $580,000 but less than $635,000

E. more than $635,000 4. Strongest Gates, Inc. balance sheet for year-end 2016 lists current assets of $245,000, fixed assets of $875,000, current liabilities of $135,000, and long-term debt of $395,000. Calculate the firms total stockholders' equity for the end of year 2016.

A. less than $450,000

B. more than $450,000 but less than $495,000

C. more than $495,000 but less than $540,000

D. more than $540,000 but less than $585,000

E. more than $585,000