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Use the financial information below to calculate and interpret the following ratios: A) Capital acquisitions ratio. B) Quality of income ratio. Sales revenue $159,131 Cost

Use the financial information below to calculate and interpret the following ratios: A) Capital acquisitions ratio. B) Quality of income ratio.

Sales revenue $159,131
Cost of goods sold $64,360
Gross profit $94,771
Selling, general and administrative expenses $8,800
Depreciation $2,585
Total Operating Expenses $11,385
Operating Income $83,386
Interest Expense $2,847
Net income before taxes $80,539
Income tax expense $3,414
Net Income $77,125
Cash Used for interest payments $2,847
Cash used for income tax payments $3,414
Net Income $77,125
Add depreciation $6,585
Add the decrease in accounts receivable $4,860
Add the decrease in inventory $367
Subtract the increase in prepaid expenses ($650)
Subtract the decrease in accounts payable ($1,202)
Net Cash provided by (used for) operating activities $87,085
Cash provided by sale of property, plan and equipment $1,165
Cash provided by sale of short-term investments $1,393
Cash used for purchase of property, plant, and equipment ($8,950)
Cash used for purchases of short-term investments ($778)
Net Cash provided by (used for) investing activities ($7,170)

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