Compute the following ratios for both companies for the current year and decide which company's stock best fits your investment strategy. Assume all sales are on credit. (Abbreviations used: A/R = accounts receivable, Avg = average, CS = common stock, EBIT = earnings before interest and taxes, Mkt = market, SE = stockholders' equity, and ST = short-term.) a. Quick ratio b. Debt ratio c. Interest coverage ratio d. Accounts receivable turnover e. Inventory turnover f. Total asset turnover g. Return on assets h. Return on equity i. Earnings per share j. Price-earnings ratio

Cash flow is often a problem for small businesses. how can an entrepreneur increase cash flow? a) locate lower-priced suppliers. b) forego sending in estimated tax payments to the irs c) shorten the terms on a bank loan to pay it off more quickly d) sell more low-margin items.

Sonic corp. manufactures ski and snowboarding equipment. it has estimated that this year there will be substantial growth in its sales during the winter months. it approaches the bank for credit. what is the purpose of such credit known as? a. expansion b. inventory building c. debt management d. emergency maintenance

Consider the scenario below and let us know if you believe lauren smith's actions to be ethical. let us know why or why not. lauren smith is the controller for sports central, a chain of sporting goods stores. she has been asked to recommend a site for a new store. lauren has an uncle who owns a shopping plaza in the area of town where the new store is to be located, so she decides to contact her uncle about leasing space in his plaza. lauren also contacted several other shopping plazas and malls, but her uncle’s store turned out to be the most economical place to lease. therefore, lauren recommended locating the new store in her uncle’s shopping plaza. in making her recommendation to management, she did not disclose that her uncle owns the shopping plaza. if management decided to go with lauren's uncle's plaza, what additional information would be needed in the financial statements?