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Illustration: Boyle Corporation had the following comparative current assets and current liabilities: Dec. 31,2017 Dec. 31,2016 During 2017, credit sales and cost of goods sold

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Illustration: Boyle Corporation had the following comparative current assets and current liabilities: Dec. 31,2017 Dec. 31,2016 During 2017, credit sales and cost of goods sold were $600,000 and $350,000, respectively. Compute the following liquidity measures for 2017: 1. Current ratio 2. Working capital Page 8 of 10 3. Acid-test (quick) ratio 4. Accounts receivable turnover 5. Did the liquidity ratios result-improve or worsen from 2016 to 2017? Show your calculation

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