The financial statements of Carver News, Inc., include the following items:

Requirements
1. Using Exhibit 13-8 as a model, compute the following ratios for 2016 and 2015:
a. Current ratio
b. Quick (acid-test) ratio
c. Inventory turnover and days' inventory outstanding (DIO)
d. Accounts receivable turnover
e. Days' sales in average receivables or days' sales outstanding (DSO)
f. Accounts payable turnover and days' payable outstanding (DPO). Use cost of goods sold in the formula for accounts payable turnover
g. Cash conversion cycle (in days)
When computing days, round your answer to the nearest whole number.
2. Evaluate the company's liquidity and current debt-paying ability for 2016. Has it improved or deteriorated from 2015?
3. As a manager of this company, what would you try to improve next year?

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2016 2015 2014 Balance sheet: Cash... Short-term investments Net receivables 77,000 $ 103,000 27,000 84,000 75,000 6,000 13,000 81,000 88,000 12,000 30,000 60,000 Prepaid expenses. 70,000 96,000 Accounts payable... 50,000 Income statement: Net credit sales $491,000 505,000 Cost of goods sold..271,000 279,000