1.

When preparing common-size statements, items on the Balance Sheet are generally stated as a percentage of __________ and items on the Income Statement are generally stated as a percentage of __________.

total sharehoder equity; net sales

total assets; net sales

total shareholder equity; net income

total asstes; net income

2.

XYB Company has a book value of $25 per share, net income of $3.3 million, annual preferred dividends of $300,000, and 1 million common stock shares outstanding. The company's common stock has a current market price of $45. What is the price to book value ratio?

0.56

1.8

0.12

0.067

3.

A financial analyst has obtained the following data from Kryton Industries' financial statements. Cash $200,000 Accounts Payable $250,000 Marketable Securities 100,000 Income Taxes 50,000 Accounts Receivable 300,000 Accrues Liabilities 100,000 Inventories 480,000 Current portion of long term Debt 200,000 Prepaid Expenses 120,000 Total Current Assets $1,200,000 Total Current Liabilities $600,000 In order to determine Kryton's ability to pay current obligation, the financial analyst would calculate Kryton's cash ratio as: O 0.80 O 1.20 01.00 O 0.50