Answer Happy

The following income statement and balance sheets for Laser World are provided: LASER WORLD Income Statement For the year-ended December 31, 20211 Sales revenue. Cost of goods sold Gross profit Expenses: Operating expenses Depreciation expense Loss on sale of land Interest expense Income tax expense Total expenses Net income Assets Current assets: Cash LASER WORLD Balance Sheet December 31 Accounts receivable Inventory Prepaid rent Long-term assets: Land Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable $2,270,000 1,600,000 670,000 348,000 60,000 4,600 25,000 55,000 492,600 $ 177,400 Equity 2021 $130,000 $109,000 95,000 70,000 190,000 170,000 19,000 19,000 2020 310,000 250,000 310,000 260,000 (72,000) (41,000) $982,000 $837,000 $ 59,000 $ 54,000 8,800 7,800 15,100 12,400 400,000 300,000

Land Equipment Accumulated depreciation Total assets Accounts payable. Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and equity Liabilities and Stockholders' Equity Current liabilities: Risk Ratios 1. 2 3. 4. 5. 6. 7. 8. 310,000 250,000 310,000 260,000 (72,000) (41,000) Receivables turnover ratio Average collection period Inventory turnover ratio Average days in inventory Current ratio $982,000 Acid-test ratio Debt to equity ratio Times interest eamed ratio $ 59,000 8,800 15,100 400,000 180,000 319,100 $982,000 Assuming that all sales were on account, calculate the following risk ratios for 2021: (Assume 365 days in a year. Round your intermediate calculations and final answers to 1 decimal place.) $837,000 $ 54,000 7,800 12,400 300,000 180,000 282,800 $837,000 times days times days to 1 to 1 % times