Operating Ratios:

1. Average Inventory Turnover Ratio
2. Average Collection Period Ratio
3. Average Payable Period Ratio
4. Net Sales to Total Assets Ratio

'All Is Not Paradise in Eden's Garden: Part 1 $689,247 $78,271 $403,569 $481,840 $86,157 $395,683 $293,564 $22,150 $9,187 Joe and Kaitlin Eden, co-owners of Eden's Garden, a small nurs- ery, lawn, and garden supply business, have just received their Balance Sheet, Eden's Garden Assets Current Assets Cash $6,457 Accounts Receivable $29,152 Less Allowance for $3,200 $25,952 Doubtful Accounts Inventory $88,157 Supplies $7,514 Prepaid Expenses $1,856 Total Current Assets $129,936 Fixed Assets Land $59,150 Buildings $51,027 Less Accumulated Depreciation $2,061 $48,966 Autos $24,671 Less Accumulated $12,300 $12,371 Depreciation Equipment $22,375 Less Accumulated Depreciation $1,250 $21,125 Furniture and Fixtures $10,295 Less Accumulated Depreciation $1,000 59,295 Total Fixed Assets $150.907 Intangibles (Goodwill) SO Total Assets $280.843 Liabilities Current Liabilities Accounts Payable $54,258 Notes Payable $20,150 Credit Line Payable $8,118 Accrued Wages/Salaries Payable $1,344 Accrued Interest Payable $1,785 Accrued Taxes Payable $1,967 Total Current liabilities $87,622 Long-Term Liabilities Mortgage $72,846 Note Payable $47,000 Total Long-Term Liabilities $119,846 Owner's Equity Sam Lloyd, Capital $73,375 Total Liabilities and Owner's Equity $280,843 Income Statement, Eden's Garden Net Sales Revenue Cost of Goods Sold Beginning Inventory, 1/1/xx + Purchases Goods available for Sale - Ending Inventory, 12,31/xx Cost of Goods Sold Grass Profit Operating Expenses Advertising Insurance Depreciation Building Autos Equipment Salaries Uniforms Repairs and Maintenance Travel Entertainment Total Operating Expenses General Expenses Utilities Telephone Professional Fees Postage Payroll Taxes Total General Expenses Other Expenses Interest Expense Bad check Expense Miscellaneous expense Total Other Expenses Total Expenses Net Income $26,705 $7,895 $11,200 5116,541 $4.018 $9,097 $2,658 $2,798 $212,249 $7,987 $2,753 $3,000 $1,892 $11,589 $27,221 $21,978 5679 $1,248 $23,905 $263,375 $30, 189 Credit sales represented $289,484 of this total. year-end financial statements from their accountant. At their last meeting with their accountant, Shelley Edison, three months ago the Edens had mentioned that they seemed to be having trouble paying their bills on time. "Some of our suppliers have threatened to put us on credit hold," said Ice