Comparative financeial statement data of Sanfield Optical Mart follow:

Other information:
1. Market price of Sanfield common stock: $89.38 at December 31, 2016, and $85.67 at December 31, 2015
2. Common shares outstanding: 15,000 during 2016 and 10,000 during 2015
3. All sales on credit
Requirements
1. Compute the following ratios for 2016 and 2015:
a. Current ratio
b. Quick (acid-test) ratio
c. Receivables turnover and days' sales outstanding (DSO) (round to the nearest whole day)
d. Inventory turnover and days' inventory outstanding (DIO) (round to the nearest whole day)
e. Accounts payable turnover and days' payable outstanding (DPO) (use cost of goods sold in the numerator of the turnover ratio and round DPO to the nearest whole day).
f. Cash conversion cycle (in days)
g. Times-interest-earned ratio
h. Return on assets (use DuPont Analysis)
i. Return on common stockholders' equity (use DuPont Analysis)
j. Earnings per share of common stock
k. Price-earnings ratio
2. Decide whether (a) Sanfield's financial position improved or deteriorated during 2016 and (b) whether the investment attractiveness of Sanfield's common stock appears to have increased or decreased.
3. How will what you learned in this problem help you evaluate an investment?

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Sanfield Optical Mart Comparative Income Statements Years Ended December 31, 2016 and 2015 2016 2015 $986,000 $ 892,000 80,000581,000 311,000 Net sales Cost of goods sold Gross profit Operating expenses Income from operations Interest expense Income before income tax Income tax expense Net income 127,000148,000 179,000163,000 50,000 30,000 49,000113,000 1,000 41,000 $ 108,000 72,000 Sanfield Optical Mart Comparative Balance Sheets December 31, 2016 and 2015 2016 2015 2014 Current assets: 32,000 82,000 227,000 157,000 $ 200,000 297,000 294 Cash Current receivables, net Inventories 258,000 7000 29,000 563,000 562,000 73,000 261,000 Prepaid expenses Total current assets Property,plant, and equipment, net Total assets | $ 836,000, s 823,000| 701,000 $150,000 $ 105,000 112,000 Accounts payable Other current liabilities Total current liabilities Long-term liabilities Total liabilities Common stockholders' equity,no par Total liabilities and stockholders' equity 35,000187,000 85,000 292 240,000 233,000 25,000 525,000 11000 298,000 199,000 ,000 $ 836,000823,000