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Markus Companys common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per

Markus Companys common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per share this year. It also provided the following data excerpts from this years financial statements:

Ending Balance Beginning Balance
Cash $ 30,500 $ 46,000
Accounts receivable $ 52,000 $ 45,000
Inventory $ 49,300 $ 52,000
Current assets $ 131,800 $ 143,000
Total assets $ 353,000 $ 318,200
Current liabilities $ 52,500 $ 37,500
Total liabilities $ 98,000 $ 88,200
Common stock, $1 par value $ 111,000 $ 111,000
Total stockholders equity $ 255,000 $ 230,000
Total liabilities and stockholders equity $ 353,000 $ 318,200

This Year
Sales (all on account) $ 585,000
Cost of goods sold $ 339,300
Gross margin $ 245,700
Net operating income $ 75,500
Interest expense $ 4,500
Net income $ 49,700

a.What is the companys operating cycle?

b.What is the total asset turnover?

c. What is the times interest earned ratio?

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

e. What is the equity multiplier?

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