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Markus Companys common stock sold for $1.50 per share at the end of this year. The company paid a common stock dividend of $0.39 per

Markus Companys common stock sold for $1.50 per share at the end of this year. The company paid a common stock dividend of $0.39 per share this year. It also provided the following data excerpts from this years financial statements:

Ending Balance Beginning Balance
Cash $ 24,500 $ 40,800
Accounts receivable $ 42,000 $ 38,800
Inventory $ 42,400 $ 42,000
Current assets $ 108,900 $ 121,600
Total assets $ 302,000 $ 242,800
Current liabilities $ 46,500 $ 31,500
Total liabilities $ 92,000 $ 82,800
Common stock, $1 par value $ 107,000 $ 107,000
Total stockholders equity $ 210,000 $ 160,000
Total liabilities and stockholders equity $ 302,000 $ 242,800

This Year
Sales (all on account) $ 480,000
Cost of goods sold $ 278,400
Gross margin $ 201,600
Net operating income $ 32,500
Interest expense $ 2,000
Net income $ 21,350

1-1. What is the acid-test ratio at the end of this year?

1-2. What is the accounts receivable turnover and the average collection period?

1-3. What is the inventory turnover and the average sale period?

1-4. What is the companys operating cycle?

1-5. What is the total asset turnover?

1-6. What is the times interest earned ratio?

2. What is the debt-to-equity ratio at the end of this year?

3. What is the equity multiplier?

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