The financial statements of Adventure News, Inc.,include the following items:

Requirements
1. Using Exhibit 13-8 as a model, compute the following ratios for 2016 and 2015:
a. Current ratio
b. Quick (acid-test) ratio
c. Inventory turnover and days' inventory outstanding (DIO)
d. Accounts receivable turnover
e. Days' sales in average receivables or days' sales outstanding (DSO)
f. Accounts payable turnover and days' payable outstanding (DPO). Use cost of goods sold in the formula for accounts payable turnover
g. Cash conversion cycle (in days)
When computing days, round your answer to the nearest whole number.
2. Evaluate the company's liquidity and current debt-paying ability for 2016. Has it improved or deteriorated from 2015?
3. As a manager of this company, what would you try to improve next year?

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2016 2015 2014 Balance sheet: Cash 24,000 30,000 21,000 71,000 73,000 10,000 205,000 70,000 95,000 Short-term investments....2,000 58,000 40,000 59,000 Net receivables Inventory Prepaid expenses Total current assets 10,000 194,000 40,000 133,000 Accounts payable. 30,000 Income statement: Cost of goods sold.. 277,000 288,000