Chapter 13, Problem 13SP

Use the following selected data from Business Solution’s income statement for the three months ended March 31,2018, and from its March 31,2018, balance sheet to complete the requirements below: computer services revenue, $25,307; net sales of (of goods), $18,693; total sales and revenue, $44,000; cost of goods sold, $14,052; net income, $18,833; quick assets, $90,924; current assets, $95,568; total assets, $120,268; current liabilities, $875; total liabilities, $875; and total equity, $119, 393.

Required

1. Compute the gross margin ratio (both with and without services revenue) and net profit margin (round the percent to one decimal).
2. Compute the current ratio and acid-test ratio (round to one decimal).
3. Compute the debt ratio and equity ratio (round to one decimal).
4. What percent of its assets are current? What percent are long term (Round the percents to one decimal.)