High Voltage Corp., an electric company that supply power to more than 1/3 residential and commercial establishments in one of the largest cities in South America, submitted the following financial ratios to the fraud examiner.

CY2018 CY2017 CY2016

Current ratio 2.45 1.56 1.20

Acid-test ratio 1.52 0.74 0.83

Total debt to equity 0.82 0.84 0.86

Long term debt to equity 0.65 0.74 0.73

Fixed assets to revenue ? ? ?

Fixed assets to total assets 0.80 0.55 0.50

Total asset turnover 1.80 1.76 1.24

Required:

1. Compute for the fixed assets to revenue ratio (in 2 decimal places) for CY 2016 to 2018.

2. What are the relevant ratios that would indicate analytical symptoms? Give three and explain why.

3. What other accounting/documentary symptoms that the fraud examiner should review to support the occurrence of fraud. Give three and explain why