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    Accounting and Forecasting for ABC Fitness: Asset activity ratios

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    ABC Fitness 000's
    Income Statement Dec-05
    Sales 2004.016
    Cost of Goods Sold 1446.733
    Gross Profit 557.283
    Selling and Ad
    Expenses 361.402
    Depreciation 56.87
    Operating Income
    (EBIT) 139.011
    Interest expense 34.482
    Other Expense 14.124
    EBT 90.405
    Taxes 24.701
    Net Income 65.704
    Balance Sheet
    Cash 25.32
    Net Receivables 55.514
    Inventories 141.35
    Prepaids 8.775
    Total Current Assets 230.959
    Gross Plant &
    Equipment 536.74
    Depreciation (161.7)
    Net Plant &
    Equipment 507.34
    Other Assets 4.621
    Total Assets 1117.96
    Notes Payable 1.127
    Accounts Payable 144.638
    Taxes Payable 16.797
    Accrued Expense 98.233
    Total Current Liabilities 260.795
    Long-Term Debt 415.138
    Deferred Taxes 20.396
    Total Liabilities 696.329
    Common Stock 0.32
    Capital Surplus 242.843
    Retained Earnings 178.468
    Total Equity 421.631
    Total Liabilities and
    Equity 1117.96

    Calculate the following asset activity ratios for the end of 2005:
    1 Average Collection Period
    2 Inventory Turnover
    3 Total Asset Turnover

    Please show all work, including formulae and calculations used to arrive at financial values.

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    In an Excel file, each of the ratios is explained and computed.