Presented below are financial statements (except cash flows) for two not-for-profit organizations. Neither organization has any permanently restricted net assets.

Exercise 13-6 [Algal Presented below are nancial statements {except cash ows) for two notforprot organizations. Neither organization has any permanently restricted net assets. ABC NotforProfit EYE NotforProfit Temporarily Temporarily Statement of Activities Unrestricted Restricted Unrestricted Restricted Revenues Program service revenue $5,607,000 $2,274,000 Contribution revenues 3,357,500 $ 774,000 3,260,000 Grant revenue 98,400 $1,027,400 Net gains on endowment investments 23,500 Net assets released from restriction Satisfaction of program restrictions 474,000 (474,000: 389,000 (389,000: Iotal revenues 9,462,000 398,400 5,923,000 638,400 Expenses Education program expenses 5,657,000 1,571,000 Research program expense 1,280,000 2,280,000 Iotal program service expenses 6,937,000 3,851,000 Fundraising 491,000 370,000 Administration 674,000 1,241,000 Iotal supporting service expenses 1,165,000 1,611,000 Iotal expenses 8,102,000 5,462,000 Increase in net assets 1,360,000 398,400 461,000 638,400 Net assets January 1 4,232,000 771,000 1,067,500 344,000 Net assets December 31 $5,592,000 $1,169,400 $1,528,500 $ 982,400 Statement of Net Assets ABC Not-for-Profit XYZ Not-for-Profit Current assets Cash 250, 600 368,000 Short-term cash equivalents 277, 000 105, 000 Supplies inventories 38,000 210, 000 Receivables 445, 500 190, 900 Total current assets 1, 011, 100 873, 900 Noncurrent assets Noncurrent pledges receivable 267, 400 Endowment investments 2, 650,000 Land, buildings, and equipment (net) 3, 181, 000 1, 792, 000 Total noncurrent assets 6, 098, 400 1, 792, 000 Total assets $7, 109, 500 $2, 665,900 Current liabilities Accounts payable 29, 000 $ 135,000 Total current liabilities 29,000 135, 000 Noncurrent liabilities Notes payable 184, 500 Total noncurrent liabilities 184, 500 Total liabilities 213, 500 135,000 Net Assets Unrestricted 4, 085,000 2, 424, 500 Donor restricted for purpose 157, 400 106, 400 Donor restricted for endowment 2, 650,000 0 Total net assets 6, 892, 400 2, 530,900 Total liabilities and net assets $7, 105, 900 $2, 665, 900Required: a. Calculate the following ratios (assume depreciation expense is $810,000 for both organizations and is allocated among program and supporting expenses): . Program expense. . Fund-raising efficiency. . Days cash on hand. . Working capital (expressed in days). b. For each ratio, which of the two organizations has the stronger ratio. (Assume 365 days in a year. Do not round intermediate calculations. Round "Program expense" answers to 1 decimal place and "Fund-raising efficiency" answers to 3 decimal places and "Days cash on hand", "Working capital" answers to nearest whole number.) Ratios ABC XYZ Stronger Ratio Program expense % % Fund-raising efficiency Days cash on hand days days Working capital (days) days days