The Balance Sheet and the Income Statement of XYZ are presented below:

Balance Sheet

Cash $ 500,000 Accounts Receivable 2,000,000 Inventories 1,000,000 Current Assets 3,500,000 Net Fixed Assets 4,500,000 Total Assets $ 8,000,000

Accounts Payable $ 1,100,000 Accrued Expenses 600,000 Short-term notes payable 300,000 Current liabilities $ 2,000,000 Long-term debt 2,000,000 Owners Equity 4,000,000 Total liabilities and owners equity $ 8,000,000

Income Statement

Net sales (all credit) $ 8,000,000 Cost of goods sold (3,300,000) Gross Profit $ 4,700,000

Operating Expenses (includes $ 500 depreciation) 3,000,000 Operating Income $ 1,700,000 Interest expense (367,000) Earnings before taxes $ 1,333,000 Income Taxes (40%) (533,000) Net Income $ 800,000

Calculate the following ratios:

a. Current ratio b. Debt Ratio c. Times interest earned d. Average collection period e. Inventory turnover f. Fixed assets turnover g. Total asset turnover h. Gross profit margin i. Operating profit margin j. Operating return on assets k. Return on equity