Requirements: Compute the following for Gray Corporation:1. Current Ratio2. Quick Ratio3. Average Collection Period (ACP)4. Inventory Turnover5. Fixed Asset Turnover6. Total Asset Turnover7. Debt Ratio8. Debt to Equity ratio9. Times Interest Earned (TIE)10. Cash Coverage11. Return on Sales (ROS)12. Return on Assets (ROA)13. Return on Equity (ROE)14. Price Earnings Ratio (P/E)15. Market to Book Value Ratio

PROBLEM NO. 2. Gray Corporation's financial statements for the last year are shown below. All figures are in thousands (P000). Th firm paid a P1,000 dividend to its stockholders during the year. Two million shares of stock are outstanding. The stock is currently trading at a price of P50. There were no sales of new stock. Lease payments totaling P400 are included in cost and expense. BALANCE SHEET ASSETS Cash P 2,000 Accounts receivable 12,000 Inventory 14,000 Current Assets P28,000 Gross Fixed assets P27,000 Accumulated depreciation (16,000) Net fixed assets 11,000 Total assets P39,000 LIABILITIES Accounts payable P 3,000 Accruals 1,000 Current Liabilities P 4,000 Long term Debt 10,000 Equity 25,000 Total liabilities & equity P39,000 INCOME STATEMENT Sales P100,000 COGS 80,000 Gross Margin P 20.000 Cash Expenses 8,000 Depreciation 1,600 9.600 EBIT P 10,400 Interest 800 EBT P 9,600 Tax 2,600 Net Income Requirements: Compute the following for Gray Corporation: 1. Current Ratio 2. Quick Ratio 3. Average Collection Period (ACP)