he financial statements for Castile Products, Inc., are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash $ 20,000 Accounts receivable, net 250,000 Merchandise inventory 370,000 Prepaid expenses 10,000 Total current assets 650,000 Property and equipment, net 890,000 Total assets $ 1,540,000 Liabilities and Stockholders' Equity Liabilities: Current liabilities $ 280,000 Bonds payable, 9% 370,000 Total liabilities 650,000 Stockholders equity: Common stock, $10 par value $ 120,000 Retained earnings 770,000 Total stockholders equity 890,000 Total liabilities and equity $ 1,540,000 Castile Products, Inc. Income Statement For the Year Ended December 31 Sales $ 3,080,000 Cost of goods sold 1,273,000 Gross margin 1,807,000 Selling and administrative expenses 620,000 Net operating income 1,187,000 Interest expense 33,300 Net income before taxes 1,153,700 Income taxes (30%) 346,110 Net income $ 807,590 Account balances at the beginning of the year were: accounts receivable, $190,000; and inventory, $300,000. All sales were on account. Required: Compute the following financial data and ratios: 1. Working capital. working capital: 2. Current ratio. (Round your answer to 2 decimal places.) current ratio: 3. Acid-test ratio. (Round your answer to 2 decimal places.) acid test ratio: 4. Debt-to-equity ratio. (Round your answer to 2 decimal places.)

debt to equity ratio: 5. Times interest earned ratio. (Round your answer to 2 decimal places.)

times interest earned ratio: 6. Average collection period. (Use 365 days in a year. Round your answer to 1 decimal place.)

average collection period: days 7. Average sale period. (Use 365 days in a year. Round your intermediate and final answer to 1 decimal place.)

average sale period: days 8. Operating cycle. (Round your intermediate calculations and final answers to 1 decimal place.)

operating cycle: days