Step 3: Practice: Balance Sheet Analysis Now it's time for you to practice what you've learned. Suppose that Royval Inc has the following data: 1.5 36.5 days 4 Total assets turnover Days sales outstanding Inventory turnover ratio Fixed assets turnover Current ratio Gross profit margin on sales: 5 2.5 20.00% Also suppose that Royval Inc has the following balance sheet: Balance Sheet Assets Liabilities Cash $104,000 Accounts receivable Inventories Fixed assets Current Liabilities Long-term debt Common stock Retained earnings Total Liabilities and equity Cost of goods sold $96,000 Total assets $360,000 Sales Use the formulas you learned about in the previous stage of the problem to answer the following questions. Given the value of total assets turnover, along with the level of total assets given, this means that Royval's sales must be Given the value of DSO, along with the level of sales you already calculated, this means that Royval's receivables must be Given the value of the inventory ratio, along with the level of sales you already calculated, this means that Royval's inventories must be . Given the value of the fixed assets turnover ratlo, as well as the level of sales, this means that Royval's fixed assets must be equal to Solving for cash yields a value of cash of and Inventories, the level of current liabilities must be for Royval. Given the current ratio of 2.5 and values of cash, accounts receivable, Given the level of retained earnings, current liabilities, and long-term debt, along with the relationship between total assets and total liabilities and equity, this means that Royal's common stock must be Given the gross profit margin and the level of sales you have already calculated, this means that Royval has a cost of goods sold of