Exercise 14.12 (Algo) Computing Ratios (LO14-7) A condensed balance sheet for Bradford Corporation prepared at the end of the year appears as follows. Assets Liabilities & Stockholders Equity Cash $ 111,000 Notes payable (due in 6 months) $ 43, 090 Accounts receivable 150, 000 Accounts payable 111, 090 Inventory 270,000 Long-term liabilities 357, 000 Prepaid expenses 60, 000 Capital stock, $5 par 300, 000 Plant & equipment (net) 570, 000 Retained earnings 440, 060 Other assets 90, 000 Total $1, 251, 000 Total $1, 251, 000 During the year the company earned a gross profit of $1,116,000 on sales of $2,950,000. Accounts receivable, inventory, and plant assets remained almost constant in amount throughout the year, so year-end figures may be used rather than averages. a. Compute the current ratio. (Round your answer to 2 decimal place.) b. Compute the quick ratio. (Round your answer to 2 decimal place.) c. Compute the working capital. d. Compute the debt ratio. (Round your percentage answers to nearest whole percent. i.e. 0.1234 as 12%.) e. Compute the accounts receivable turnover (all sales were on credit). (Round your answer to 2 decimal places.) f. Compute the inventory turnover. (Round your answer to 2 decimal places.) g. Compute the book value per share of capital stock. (Round your answer to 2 decimal places.) 3 Current ratio to 1 b Quick ratio to 1 C. Working capital d Debt ratio % e Accounts receivable turnover times F Inventory turnover times g- Book value per share of capital stock