1. Agnes Company reported the following data:

Quick assets	$ 50,000
Current assets	145,000
Total liabilities	295,000
Average net receivables	14,100
Beginning inventory	33,000
Long-term liabilities	195,000
Net credit sales	121,000
Cost of goods sold	79,000
Ending inventory	41,000

What was the inventory turnover ratio?

A. 2.39

B. 1.93

C. 2.14

D. 3.27

2. Your goal is to be able to withdraw $11,600 for each of the next eight years beginning one year from today and also to withdraw $44,000 ten years from today. The return on the investment is expected to be 6%. The amount that needs to be invested today is closest to: (Table A.1, Table A.2, Table A.3, and Table A.4) (Use appropriate factor(s) from the tables provided.)

A. $78,842.

B. $132,741.

C. $96,603.

D. $72,034.

3. Cecilia Company reported net income of $1,400,000. The average total liabilities were $4,310,000 and average total stockholders' equity was $5,220,000. Interest expense was $102,000 and the tax rate was 40%. Cecilia's return on assets ratio is closest to:

A. 14.7%

B. 15.8%

C. 13.6%

D. 15.3%

4. Rachel Corporation purchased a building by paying $92,000 cash on the purchase date, agreeing to pay $50,400 every year for the next eight years and $102,000 ten years from the purchase date. The first payment is due one year after the purchase date. Rachel's incremental borrowing rate is 9%. The liability reported at on the balance sheet as of the purchase date, after the initial $92,000 payment was made, is closest to: (Table A.1, Table A.2, Table A.3, and Table A.4) (Use appropriate factor(s) from the tables provided.)

A. $414,039.

B. $505,200.

C. $278,954.

D. $322,039.

5. Gammell Company issued $51,400 of 9% bonds with annual interest payments. The bonds mature in ten years. The bonds were issued at $48,700. Gammel Company uses the straight-line method of amortization. How much is the annual interest expense?

A. $4,896.

B. $4,356.

C. $4,813.

D. $4,626.

6. Short Company purchased land by paying $18,000 cash on the purchase date and agreeing to pay $18,000 for each of the next eight years beginning one-year from the purchase date. Short's incremental borrowing rate is 14%. On the balance sheet as of the purchase date, after the initial $18,000 payment was made, the liability reported is closest to: (Table A.1, Table A.2, Table A.3, and Table A.4) (Use appropriate factor(s) from the tables provided.)

A. $50,481.

B. $144,000.

C. $83,500.

D. $101,500.