The following ratios have been computed for Al-Aqsa company for 2012 Profit Margin = 20% Times interest earned = 9 times Receivables turnover = 3 Times Acid test ratio = 2.1 Current ratio = 31 Debt to total assets ratio = 20% For 2011 Cash = 450,000 Marketable Securities = 25,000 A/R (net) = 40,000 Inventory = 50.000 Fixed assets ( net ) = 160.000 Total assets = 320,000 Account payable = 30,000 Short term notes payable = 35,000 Bonds payable = 20,000 Common stock = 200,000 Retained earnings = 35000 Total liabilities and Equity = 320,000 For 2012 Cash = 30,000 Marketable Securities = 10000 A/R (net) = A, Inventory = B Fixed Assets = 200.000 Total Assels = K A/P =C Short term notes payable = 400.000 Bonds payable =D Common stock = 220,000 Retained earnings = 60,000 Total liabilities and equity = L Items of income statement for December 31 2012 Net Sales = 150,000 Cost of goods sold = 75,000 Depreciation expense = E. Interest Expense = 5000 Selling Expenses = 8000 Administrative expenses = 12000 , Total operating expenses = F. Income before Taxes = G, Income Tax expense = H, Net income = 1 * = Net income (1).5 (3 ) 25,000 150,000 20,000 30,000