The financial statements for Castile Products, Inc., are given below:

Castile Products, Inc.
Balance Sheet
December 31
Assets
Current assets:
Cash	$21,000
Accounts receivable, net	230,000
Merchandise inventory	390,000
Prepaid expenses	10,000
Total current assets	651,000
Property and equipment, net	900,000
Total assets	$1,551,000
Liabilities and Stockholders' Equity
Liabilities:
Current liabilities	$210,000
Bonds payable, 10%	330,000
Total liabilities	540,000
Stockholders' equity:
Common stock, $10 par value	170,000
Retained earnings	841,000
Total stockholders' equity	1,011,000
Total liabilities and stockholders' equity	$1,551,000

Castile Products, Inc.
Income Statement
For the Year Ended December 31
Sales	$2,800,000
Cost of goods sold	1,612,500
Gross margin	1,187,500
Selling and administrative expenses	640,000
Net operating income	547,500
Interest expense	33,000
Net income before taxes	514,500
Income taxes (30%)	154,350
Net income	$360,150

Account balances at the beginning of the year were: accounts receivable, $170,000 and inventory, $360,000. All sales were on account.

Required:

Compute the following financial ratios:

1. Working capital

2. Current ratio

3. Acid-test ratio

4. Debt-to-equity ratio

5. Times interest earned ratio

6. Average collection period. (Use 365 days in a year.)

7. Average sales period. (Use 365 days in a year.)

8. Operating cycle