| | 1.05 2.) | Dennisport Corporation has an acid-test ratio of 2.2. It has current liabilities of $48,000 and noncurrent assets of $77,000. The corporation's current assets consist of cash, marketable securities, accounts receivable, prepaid expenses, and inventory; it has no short-term notes receivable. If Dennisport's current ratio is 3.4, its inventory and prepaid expenses must be: | | | $86,200 | | | $98,600 | | | $57,600 | | | $63,800 3.) | Deacon Corporation has provided the following financial data from its balance sheet and income statement: | | | Year 2 | Year 1 | | Total assets | $1,210,000 | $1,171,000 | | Total liabilities | $476,000 | $472,000 | | Total stockholders' equity | $744,000 | $710,000 | | Net operating income (income before interest and taxes) | $68,739 | | | Interest expense | $25,000 | | | The company's times interest earned for Year 2 is closest to: | | | 1.75 | | | 2.75 | | | 0.66 | | | 3.75 4.) | Data from Fontecchio Corporation's most recent balance sheet appear below: | | Cash | $24,000 | | Marketable securities | $29,000 | | Accounts receivable | $75,000 | | Short-term notes receivable | $0 | | Inventory | $66,000 | | Prepaid expenses | $19,000 | | Current liabilities | $160,000 | | The corporation's acid-test ratio is closest to: | | | 0.62 | | | 0.18 | | | 0.80 | | | 0.33 5.) | Calin Corporation has total current assets of $643,000, total current liabilities of $252,000, total stockholders' equity of $1,211,000, total net plant and equipment of $986,000, total assets of $1,629,000, and total liabilities of $418,000. The company's working capital is: | | | $391,000 | | | $343,000 | | | $477,000 | | | $418,000 6.) | During the year just ended, the retailer James Corporation purchased $449,000 of inventory. The inventory balance at the beginning of the year was $199,000. If the cost of goods sold for the year was $472,000, then the inventory turnover for the year was: (Round your Final answers to 2 decimal places.) | | | 2.37 | | | 2.68 | | | 2.39 | | | 2.52 7.) | Granger Corporation had $193,000 in sales on account last year. The beginning accounts receivable balance was $25,000 and the ending accounts receivable balance was $34,000. The corporation's average collection period was closest to: (Assume 365 days a year. Round your intermediate answers to 2 decimal places.) | | | 6.5 days | | | 64.3 days | | | 55.8 days | | | 47.3 days 8.) | Irawaddy Company, a retailer, had cost of goods sold of $423,500 last year. The beginning inventory balance was $37,000 and the ending inventory balance was $40,000. The company's average sale period was closest to: (Assume 365 days a year.) | | | 11.00 days | | | 33.20 days | | | 0.03 days | | | 3.14 days | | | | | | | |
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