Use the information contained in J.Washams financial statements to solve the following problems.

J WASHAM CALCULATORS
Balance Sheet
	2007	2008	2009	2010	2011
Cash & Equivalents	$75	$75	$90	$100	$100
Accounts Receivable	300	400	600	550	500
Inventory	150	250	350	250	250
Net Fixed Assets	525	575	610	540	465
Total Assets	$1,050	$1,300	$1,650	$1,440	$1,315
Accounts Payable	$125	$175	$250	$225	$200
Notes Payable	165	162	178	136	99
Accrued Operating Expense	$60	$161	$165	$89	$76
Long-Term Debt	500	400	300	100	50
Shareholders Equity	$200	$402	$757.2	$890.2	$890.2
Total Liabilities and NW	$1,050	$1,300	$1,650	$1,440	$1,315
Income Statements
	2007	2008	2009	2010	2011
Revenues (Sales)	$1,500	$2,250	$3,000	$2,000	$1,500
Cost of Goods Sold	600	900	1200	800	600
Operating Expenses	600	797	895	750	725
Depreciation	35	50	65	70	75
Interest	30	33	28	25	10
Taxes	94	188	325	142	36
Net Profit	141	282	487.2	213	54
Dividends	40	80	132	80	54

Calculate the current ratio, quick ratio, net working capital, and working capital requirements for each of the five years. Discuss and interpret the trends observed.

Calculate the cash conversion period for each year and interpret the trend