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 = 3:1 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 = 35,000 , Total liabilities and Equity = 320,000 For 2012: Cash = 30,000 , Marketable Securities = 10,000 , A/R (net) = A , Inventory = B , Fixed Assets = 200,000 , Total Assets = 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 = I

12. Inventory (B) = * (3 Points) O 90,000 O 110,000 O 60,000 O 50,000