The following cash flow information is presented for the year ended December 31, 2019: Cash flows from operating activities: Net income $ 500 Depreciation $2,800 Gain on sale of land (800) Decrease in accounts receivable Decrease in inventory 400 500 Increase in accounts payable 800 50 Increase in wages payable Decrease in taxes payable (1.000 2.750 Net cash flow from operating activities 3,250 Cash flows from investing activities: Land was sold for 1,800 Equipment was purchased for Net cash used for investing activities (3,500) (1,700) (4,350) Cash flows from financing activities: Dividends declared and paid Common stock was sold for Net cash used for financing activities 3,800 (550) Presented below are selected ratio for Sun Electronics Corporation for the periods 2018, 2019, and the industry average. Financial Ratios 2019 2018 Industry Current Ratio 3.69 2.61 2 Acid-test Ratio 0.79 1.04 1.1 Cash ratio 0.55 0.84 1.00 Inventory tumover 2.77 1.87 4.1 Accounts Receivables Turnover 4.60 5.85 6.00 Debt ratio 40% 46% 40% Debt to Equity ratio 15% 17% 22% Return on total assets 8% 8.5% 8.7% Net profit margin 7.8% 7.8% 7% Dividend pay out 13% 11% 10% Price earnings ratio 16.6 18.5 19 Instructions Compute: Company's operating cycle for the years 2018, 2019, and Industry Instructions Compute: Company's operating cycle for the years 2018, 2019, and Industry 2019 2018 Industry 200 120 170 2019 2018 Industry 210 137 150 2019 2018 Industry 79 61 62 2019 2018 Industry 10 37 50