1) Based on the following data for the current year, what is the accounts receivable turnover?

Net sales on account during year	$ 525,500
Cost of merchandise sold during year	375,000
Accounts receivable, beginning of year	50,000
Accounts receivable, end of year	40,000
Inventory, beginning of year	110,000
Inventory, end of year	140,000

	a.	8.3
	b.	10.35
	c.	11.7
	d.	13.14

2) Based on the following data for the current year, what is the inventory turnover?

Net sales on account during year	$ 517,500
Cost of merchandise sold during year	450,000
Accounts receivable, beginning of year	50,000
Accounts receivable, end of year	40,000
Inventory, beginning of year	110,000
Inventory, end of year	140,000

a.

3.2

b.

3.6

c.

4.2

d.

7.2

3) Based on the following data, what is the quick ratio, rounded to one decimal place?

Accounts payable	$ 32,000
Accounts receivable	64,000
Accrued liabilities	7,000
Cash	20,000
Intangible assets	40,000
Inventory	72,000
Long-term investments	100,000
Long-term liabilities	75,000
Marketable securities	35,000
Notes payable (short-term)	25,000
Property, plant, and equipment	625,000
Prepaid expenses	2,000

	a.	3.2
	b.	2.1
	c.	1.9
	d.	1.4

4)The balance sheets at the end of each of the first two years of operations indicate the following:

	2011	2010
Total current assets	$600,000	$560,000
Total investments	60,000	40,000
Total property, plant, and equipment	900,000	700,000
Total current liabilities	125,000	80,000
Total long-term liabilities	350,000	250,000
Preferred 9% stock, $100 par	100,000	100,000
Common stock, $10 par	600,000	600,000
Paid-in capital in excess of par--common stock	60,000	60,000
Retained earnings	325,000	210,000

If net income is $130,000 and interest expense is $40,000 for 2011, what is the rate earned on stockholders' equity for 2011 (rounded to one decimal place)?

	a.	12.0%
	b.	12.7%
	c.	13.2%
	d.	16.5%