Question 1Table 1

Income StatementBalance Sheet

Sales20,000,000Assets:

Cost of Goods Sold8,000,000Cash$5,000,000

12,000,000Marketable Securities 12,500,000

Selling and Administrative 1,600,000Accounts Receivable, net 2,500,000

Depreciation3,000,000Inventory 30,000,000

7,400,000Prepaid Expenses 5,000,000

Interest 2.000,000Plant & Equipment 30,000,000

5,400,000

Taxes (40%) 2,160,000Total Assets 85,000,000

3,240,000

Common Stock Div. 600,000Liabilities and Equity:

$2,640,000 Accounts Payable$20,000,000

Notes Payable5,000,000

Accrued Expenses5,000,000

Bonds 25,000,000

Common Stock5,000,000

Capital in Excess of Par 10,000,000

Retained Earnings15,000,000

Total Liabilities and

Equity $85,000,000

Shares outstanding of common stock = 1,000,000

Market price of common stock = $18.

Use Table 1 for the following 15 questions.

1-1.The Current Ratio is:

1-2. The Net Profit margin is:

1-3.The Quick Ratio is:

1-4 The Times Interest Earned ratio is:

1-5.The Earnings Per Share is:

1-6.The Gross Profit Margin is:

1-7.The Total Debt to Total Asset ratio is:

1-8.Return on Assets ratio is:

1-9.The Total Asset Turnover ratio is:

1-10.The Operating Profit Margin is:

1-11.The Average Collection Period (365 day year) is:

1-12.The Market to Book ratio is:

1-13.The Debt to Equity ratio is:

1-14.The Inventory Turnover ratio is:

1-15.The Return on Equity is: