Solve Problems 4-11 - Short Answers: Using the information provided below for ABC, Inc., please write the appropriate calculations and/or short answer to the below questions (4 points each) : ABC, Inc. Balance Sheet (in thousands) December 31, 2014 Assets Cash $ 2,000 Accounts receivable 17,800 Inventories 8,700 Total current assets 28,500 Gross fixed assets 70,000 Accumulated depreciation 26,500 Net fixed assets 43,500 Total assets $72,000 Liabilities and Equity Accounts payable $18,000 Accruals 13,350 Total current liabilities 31,350 Long-term debt 8,250 Total liabilities 39,600 Common stock (par value and paid in capital) 2,000 Retained earnings 30,400 Total stockholders' equity 32,400 Total Liabilities and Equity $72,000 ABC, Inc. Income Statement (in thousands) December 31, 2014 Sales (all credit) $200,000 Cost of goods sold 140,000 Gross profit on sales 60,000 Operating expenses 56,000 Operating income 4,000 Interest expense 1,000 Earnings before tax 3,000 Income tax 1,050 Net income available to common stockholders $ 1,950 ABC, Inc. 2013 Ratios Industry Average Ratios in 2013 Current ratio 1.2 1.4 Acid test ratio 0.89 0.94 Average collection period 30 days 25 days Inventory turnover 18.1 20.3 Fixed assets turnover 4.1 4.8 Total asset turnover 2.78 2.8 Debt ratio 50% 60% Times-interest-earned 5.5% 4.5% Net profit margin 1.15% 1.5% Return on equity 5.21% 7.32% 4) In 2014, ABC's average collection period is: 5) In 2014, ABC's inventory turnover is: 6) In 2014, ABC's fixed asset turnover is: 7) Since 2013, ABC's efficiency at using its assets has: 8) In 2014, the improvement in ABC's return on equity occurred because: 9) Since 2013, ABC's liquidity has: 10) Since 2013, ABC's inventory management has: 11) How has the company's financial condition changed since 2013? How does it compare to its industry?

JUST QUESTION 7 PLEASE