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Information for Problem 5. Calculate the following for Testable Corp. a) Cash Conversion Cycle (Cash to Cash Gap) 365*(6,480/36,000)+365+(9,000/32,440)+365*(4,320/36,000)=210.76 b) Quick Ratio =(16,560-9,000)/9,300=0.813 c) Times

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Information for Problem 5. Calculate the following for Testable Corp. a) Cash Conversion Cycle (Cash to Cash Gap) 365*(6,480/36,000)+365+(9,000/32,440)+365*(4,320/36,000)=210.76 b) Quick Ratio =(16,560-9,000)/9,300=0.813 c) Times Interest Earned =(36,000-32,440)/460=7.74 d) Net Profit Margin =1,860/36,000=0.052 e) Return on Assets =1,860/29.160=0.064 f) Return on Equity 1,860/(16,560-9,300)=0.256 g) Price Earnings Ratio =8.45/(1,860/3,500)=15.9 h) Dividend Yield =837/8.45=99.05

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