J. P. Robard Mfg., Inc. Balance Sheet ($000) Cash $540 Accounts receivable 2,010 Inventories 1,040 Current assets $3,590 Net fixed assets 4,440 Total assets $8,030 Accounts payable $1,080 Accrued expenses 550 Short-term notes payable 300 Current liabilities $1,930 Long-term debt 1,960 Owners' equity 4,140 Total liabilities and owners' equity $8,030

The balance sheet and income statement for the J. P. Robard Mfg. Company are as follows:

.

Calculate the following ratios:

Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin

Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity

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Part 1

The company's current ratio is

enter your response here.

(Round to two decimal places.)

Answer rating: 100% (QA)

To calculate the current ratio we need to use the following formula Current Ratio ... View the full answer