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Financial statements for the Genatron Manufacturing Corporation for the years 2017 and 2016 are shown. Genatron Manufacturing Corporation Balance Sheet 2017 2016 ASSETS Cash $40,138 $51,164 Accts. receivable 260,664 201,742 Inventory 503,726 450,260 Total current assets 804,528 703,166 Fixed assets, net 400,000 300,000 Total assets $1,204,528 $1,003,166 LIABILITIES AND EQUITY Accts. payable $171,207 $132,744 Bank loan 90,729 90,729 Accruals 70,000 50,000 Total current liabilities 331,936 273,473 Long-term debt, 12% 397,564 309,553 Common stock, $10 par 300,000 300,000 Capital surplus 45,141 45,141 Retained earnings 129,887 74,999 Total liabilities & equity $1,204,528 $1,003,166 Genatron Manufacturing Corporation Income Statement 2017 2016 Net sales $1,616,735 $1,416,735 Cost of goods sold 970,041 850,041 Gross profit 646,694 566,694 Expenses: General and administrative 150,000 150,000 Marketing 150,000 130,000 Depreciation 50,305 40,612 Interest 54,183 44,909 Earnings before taxes 242,206 201,173 Income taxes 75,903 60,148 Net income $166,303 $141,025

(a) Your answer is partially correct. Try again. Calculate Genatrons dollar amount of net working capital in each year. 2017 2016 Net working capital $ $ SHOW SOLUTION LINK TO TEXT Attempts: 2 of 2 used

(b) Your answer is correct. Calculate the current ratio and the acid-test ratio in each year. (Round answers to 2 decimal places, e.g. 52.75.) 2017 2016 Current ratio Acid-test ratio SHOW SOLUTION LINK TO TEXT Attempts: 1 of 2 used

(c) Calculate the average collection period and the inventory-turnover ratio in each year. (Use 365 days for calculation. Round Average collection period to 1 decimal place, e.g. 527.5 and other answers to 2 decimal places, e.g. 52.75.) 2017 2016 Average collection period days days Inventory turnover ratio

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