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Refer to the balance sheet and income statement you just completed to answer the following. Additional information that may help is: Average asset value =

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Refer to the balance sheet and income statement you just completed to answer the following. Additional information that may help is: Average asset value = $255,000; average equity = $133,450; opportunity costs for capital = 9%; opportunity costs for labor = $12,000; opportunity costs for management = $6,500. Calculate the following: a. current ratio b. debt structure c. debt/asset ratio d. debt/equity ratio e. working capital f. rate of return on assets g. operating profit margin ratio h. return on equity i. Is this farm business solvent? Explain j. Would this farmer likely be able to obtain $35,000 to finance the purchase of some additional land? Explain k. The rate of return on assets for similar businesses is 4.5%. How does this firm compare

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