Adrian Express' 2018 income statement reports sales of $12,915,000, cost of goods sold of $7,250,000, and net income of $1,500,000. 

Balance information is provided in the following table.

ADRIÁN EXPRESS Balance Sheets December 31, 2018 and 2017
	2018		2017
Assets
Current assets:
Money	ps	500,000	ps	660.000
accounts receivable		1,200,000		900,000
Inventory		1,600,000		1,300,000
long term assets		4,700,000		4,140,000
total assets	ps	8,000,000	ps	7,000,000
Liabilities and Equity
current liabilities	ps	1,920,000	ps	1,560,000
Long term passives		2,290,000		2,300,000
Common actions		1,800,000		1,800,000
Retained earnings		1,990,000		1,340,000
Total liabilities and stockholders' equity	ps	8,000,000	ps	7,000,000

The industry averages for the next four risk indices are as follows:

Average collection period	25 days
Average days in inventory	60 days
Radio actual	2 a 1
debt ratio	50%

Required: 

Calculate the four risk indices listed above for Adrian Express in 2018. (Use 365 days in a year.)

Answer rating: 100% (QA)

To calculate the four risk indices for Adrian Express in 2018 we can use the following formulas 1 Av... View the full answer