Question - Frizell Company has the following comparative balance sheet data.
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FRIZELL Company Balance Sheets December 31
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2017
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2016
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Cash
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$15,800
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$30,300
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Accounts receivable (net)
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70,600
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59,400
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Inventory
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61,000
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50,300
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Plant assets (net)
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201,500
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180,500
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$348,900
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$320,500
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Accounts payable
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$50,300
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$59,900
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Mortgage payable (6%)
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107,000
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107,000
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Common stock, $10 par
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138,000
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124,500
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Retained earnings
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53,600
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29,100
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$348,900
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$320,500
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Additional information for 2017:
1. Net Income was $24,500.
2. Sales on account were $410,500. Sales returns and allowances were $19,200.
3. Cost of goods sold was $197,700.
Compute the following ratios at December 31, 2017.
(a) Current ratio
(b) Acid-test ratio
(c) Accounts receivable turnover
(d) Inventory turnover