The following financial information is for Wildhorse Company.

WILDHORSE COMPANY Balance Sheets December 31
Assets		2017		2016
Cash		$ 71,000		$ 67,000
Debt investments (short-term)		53,000		40,000
Accounts receivable		107,000		92,000
Inventory		239,000		168,000
Prepaid expenses		30,000		22,000
Land		130,000		130,000
Building and equipment (net)		263,000		185,000
Total assets		$893,000		$704,000
Liabilities and Stockholders Equity
Notes payable		$171,000		$104,000
Accounts payable		67,000		55,000
Accrued liabilities		41,000		41,000
Bonds payable, due 2017		251,000		172,000
Common stock, $10 par		200,000		200,000
Retained earnings		163,000		132,000
Total liabilities and stockholders equity		$893,000		$704,000

WILDHORSE COMPANY Income Statements For the Years Ended December 31
		2017		2016
Sales revenue		$ 893,000		$ 793,000
Cost of goods sold		644,000		575,000
Gross profit		249,000		218,000
Operating expenses		190,000		161,000
Net income		$ 59,000		$ 57,000

Additional information:

1.		Inventory at the beginning of 2016 was $ 115,000.
2.		Accounts receivable (net) at the beginning of 2016 were $ 89,000.
3.		Total assets at the beginning of 2016 were $ 637,000.
4.		No common stock transactions occurred during 2016 or 2017.
5.		All sales were on account.

(a1) Compute the liquidity and profitability ratios of Wildhorse Company for 2016 and 2017. (Round all answers to 2 decimal places, e.g. 1.83 or 1.83%. If % change is a decrease show the numbers as negative, e.g. -1.83% or (1.83%).)

		2016			2017			% Change
LIQUIDITY
Current ratio		enter the current ratio	:1		enter the current ratio	:1		enter percentages	%
Accounts receivables turnover		enter accounts receivables turnover in times	times		enter accounts receivables turnover in times	times		enter percentages	%
Inventory turnover		enter inventory turnover in times	times		enter inventory turnover in times	times		enter percentages	%

		2016			2017			% Change
PROFITABILITY
Profit margin		enter percentages	%		enter percentages	%		enter percentages	%
Asset turnover		times			times			%enter percentages %
Return on assets		enter percentages	%		enter percentages	%		enter percentages	%
Earnings per share		$ enter a dollar amount			$ enter a dollar amount			enter percentages	%

(b) Given below are three independent situations and a ratio that may be affected. For each situation, compute the affected ratio (1) as of December 31, 2017, and (2) as of December 31, 2018, after giving effect to the situation. (Round all answers to 2 decimal places, e.g. 1.83 or 1.83%. If % change is a decrease show the numbers as negative, e.g. -1.83% or (1.83%).)

Situation				Ratio
1.		20,000 shares of common stock were sold at par on July 1, 2018. Net income for 2018 was $ 55,000.		Return on common stockholders equity
2.		All of the notes payable were paid in 2018. All other liabilities remained at their December 31, 2017 levels. Total assets on December 31, 2018, were $ 890,000.		Debt to assets ratio
3.		The market price of common stock was $ 9 and $ 12 on December 31, 2017 and 2018, respectively.		Price-earnings ratio

		2017			2018			% Change
Return on common stockholders equity		enter percentages	%		enter percentages	%		enter percentages	%
Debt to assets ratio		enter percentages	%		enter percentages	%		enter percentages	%
Price earnings ratio		enter a price earnings ratio in times	times		enter a price earnings ratio in times	times		enter percentages	%