Question: Calculate the following ratio for the year 2020: (i). Quick Ratio, (ii). Accounts Receivables Turnover (iii). Payout Ratio. (1 mark for formula 1 mark for calculation)

3. Comparative Balance sheet of Athlede Company are given below : Athlede Company Comparative Balance Sheet December 31 2020 2019 Current Assets Cash Accounts receivable Inventories Prepaid Rent Prepaid Insurance $104,800 21,200 9,000 9,000 11,500 $27,000 23,400 7,000 15,000 9,500 Non-Current Assets Land Plant assets Accumulated depreciation Total Assets Current Liabilities Accounts payable Notes payable 75,000 250,000 (65.000) $415,500 35,000 215,000 (60,000) $271,900 $9,000 29,000 $ 5,700 34,000 Long-term Liabilities: Bank Loan 100,000 70,000 Stockholder's Equity: Common stock Retained earnings Total Stockholder's Equity 75,000 202,500 277,500 47,700 114,500 162,200 Total Liabilities and Stockholder's Equity $415,500 $271,900 Some key Income statement items of Athlede Company are as follows: Revenue $500,000 Cost of goods sold $185,000 Net Income $102,000 Additional information: 1. New Land was purchased for cash, in 2020. Plant assets worth $60,000 was also purchased with cash. 2. On 31 July, 2020, plant asset that was purchased three years back for $25,000 was sold for $11,000. On 31 July, 2020, the accumulated depreciation for the old plant asset was $12,000. 3. New stock/ shares worth $27,300 was issued. 4. A cash dividend of $17,000 was declared and paid during the year. 5. A new bank loan was taken in 2020. 6. The current market price of one share/ stock of Athlede Company is $8.30. 7. The depreciation expense charged in 2020 is $20,000