The comparative financial statements of True Beauty Cosmetic Supply for 2016, 2015, and 2014 include the data shown here:

Requirements
1. Compute these ratios for 2016 and 2015:
a. Acid-test ratio (Round to two decimals.)
b. Accounts receivable turnover (Round to two decimals.)
c. Days€™ sales in receivables (Round to the nearest whole day.)
2. Considering each ratio individually, which ratios improved from 2015 to 2016 and which ratios deteriorated? Is the trend favorable or unfavorable for the company?

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2016 2015 2014 Balance sheet-partial Current Assets as Short-term investments Accounts Receivable, Net Merchandise Inventory Prepaid Expenses Total Current Assets Total Current Liabilities $ 90,000 140,000 270,000 355,000 65,000 920,000 540,000 80,000 150,000 260,000 330,000 10,000 830,000 580,000 $60,000 125,000 220,000 310,000 40,000 755,000 670,000 Income statement-partial Net Sales (all on account) 5,880,000 5,210,000 4,200,000