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1) If a firm sold some inventory for cash and left the funds in its bank account, its current ratio would probably not change much, but its quick ratio would decline

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1) If a firm sold some inventory for cash and left the funds in its bank account, its current ratio would probably not change much, but its quick ratio would decline. 
Select one:

 a)True

b) False 

2) Kael Corp's sates last year were S38,000, and its total assets were $16,000. What was as total assets turnover ratio ?

a) 2.26

b) 2.04

c) 2.49

 d) 2.14  

 e)  2.38 

3) Celestine Inc, assets ate $625,000 and its total debt outstanding is $185,000. The new CFO wants to establish a debt/assets ratio of 55%. The size of the firm does not change. How much debt must the company add or subtract to achieve the target debt ratio?

a) $166,688 

b) $158,750

c) $192,962

d) $175,022

e) $183,773