. K Co. is preparing its ordinary-size financial statements and revealed the following information: (in thousands of pesos) Accounts receivable 10,000 Inventory 20,000 Total current assets 35,000 Total assets 84,000 Bonds payable 21,000 Retained earnings 7,000 Sales revenue 75,000 Cost of goods sold 62,000 Income taxes expense 22,000

7. How would Ks inventory appear on a ordinary-size balance sheet? A. 11.9 % B. 23.8% C. 57.15% D. 65.3 %

8. How would Ks retained earnings appear on a ordinary-size balance sheet? A. 8.3% B. 9.4% C. 20.0% D. 33.3%

9. Index numbers would probably be most interested in which ratio? A. Trend analysis. C. Vertical analysis. B. Ratio analysis. D. Ordinary-size statements.