Accounts Data Bank

Accounts Data Bank

Question
61. Al’s Sport Store has sales of $897,400, costs of goods sold of $628,300, inventory of $208,400, and accounts receivable of $74,100. How many days, on average, does it take the firm to sell its inventory assuming that all sales are on credit?
A. 74.19 days
B. 84.76 days
C. 121.07 days
D. 138.46 days
E. 151.21 days

62. The Flower Shoppe has accounts receivable of $3,709, inventory of $4,407, sales of $218,640, and cost of goods sold of $167,306. How many days does it take the firm to both sell its inventory and collect the payment on the sale assuming that all sales are on credit?
A. 14.67 days
B. 15.81 days
C. 16.23 days
D. 17.18 days
E. 17.47 days

63. A firm has net working capital of $2,715, net fixed assets of $22,407, sales of $31,350, and current liabilities of $3,908. How many dollars worth of sales are generated from every $1 in total assets?
A. $1.08
B. $1.14
C. $1.19
D. $1.26
E. $1.30

64. The Purple Martin has annual sales of $687,400, total debt of $210,000, total equity of $365,000, and a profit margin of 5.20 percent. What is the return on assets?
A. 6.22 percent
B. 6.48 percent
C. 7.02 percent
D. 7.78 percent
E. 9.79 percent

65. Reliable Cars has sales of $807,200, total assets of $1,105,100, and a profit margin of 9.68 percent. The firm has a total debt ratio of 78 percent. What is the return on equity?
A. 13.09 percent
B. 16.67 percent
C. 17.68 percent
D. 28.56 percent
E. 32.14 percent

66. The Meat Market has $747,000 in sales. The profit margin is 4.1 percent and the firm has 7,500 shares of stock outstanding. The market price per share is $27. What is the price-earnings ratio?
A. 6.61
B. 8.98
C. 11.42
D. 13.15
E. 14.27

67. Big Guy Subs has net income of $150,980, a price-earnings ratio of 12.8, and earnings per share of $0.87. How many shares of stock are outstanding?
A. 13,558
B. 14,407
C. 165,523
D. 171,000
E. 173,540

68. A firm has 160,000 shares of stock outstanding, sales of $1.94 million, net income of $126,400, a price-earnings ratio of 18.7, and a book value per share of $9.12. What is the market-to-book ratio?
A. 1.62
B. 1.84
C. 2.23
D. 2.45
E. 2.57

69. Oscar’s Dog House has a profit margin of 5.6 percent, a return on assets of 12.5 percent, and an equity multiplier of 1.49. What is the return on equity?
A. 17.14 percent
B. 18.63 percent
C. 19.67 percent
D. 21.69 percent
E. 22.30 percent

70. Taylor’s Men’s Wear has a debt-equity ratio of 42 percent, sales of $749,000, net income of $41,300, and total debt of $198,400. What is the return on equity?
A. 7.79 percent
B. 8.41 percent
C. 8.74 percent
D. 9.09 percent
E. 9.16 percent