Wegener Corporation's most recent balance sheet and income statement appear below:
Required:Compute the following for Year 2:a. Working capital.b. Current ratio.c. Acid-test (quick) ratio.d. Accounts receivable turnover.e. Average collection period.f. Inventory turnover.g. Average sale period.

a.Working capital = Current assets − Current liabilities= $510 − $200 = $310b.Current ratio = Current assets ÷ Current liabilities= $510 ÷ $200 = 2.55c.Acid-test (quick) ratio = Quick assets* ÷ Current liabilities= $310 ÷ $200 = 1.55*Quick assets= Cash + Marketable securities + Accounts receivable= $90 + $0 + $220 = $310d.Accounts receivable turnover = Sales on account ÷ Average accounts receivable*= $1,400 ÷ $245 = 5.71*Average accounts receivable = ($220 + $270) ÷ 2 = $245e.Average collection period = 365 days ÷ Accounts receivable turnover (see above)= 365 days ÷ 5.71 = 63.9 daysf.Inventory turnover = Cost of goods sold ÷ Average inventory balance*= $860 ÷ $140 = 6.14*Average inventory balance = ($130 + $150) ÷ 2 = $140g.Average sale period = 365 days ÷ Inventory turnover (see above) = 365 days ÷ 6.14 = 59.4 days