Condensed statement of financial position and income statement data for Colinas Corporation follow:

Additional information:
1. The allowance for doubtful accounts was $2,400 in 2013, $2,750 in 2014, and $3,650 in2015.
2. Assume all sales were credit sales.
3. Net cash provided by operating activities was $91,000 in 2014 and $107,500 in 2015.
Instructions
(a) Calculate the following ratios for each of 2014 and 2015:
1. Current ratio
2. Receivables turnover
3. Inventory turnover
4. Debt to total assets
5. Times interest earned
6. Cash total debt coverage
7. Gross profit margin
8. Profit margin
9. Asset turnover
10. Return on assets
(b) Indicate whether the change in each ratio calculated in part (a) was favourable, unfavourable, or unchanged between 2014 and 2015.

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COLINAS CORPORATION Statement of Financial Position December 31 2015 2014 2013 Assets 24,000 50,000 45,000 75,000 76,000 345,000 $615,000 10,000 53,000 50,000 Accounts receivable (net) Inventory Other current assets Long-term investments Property, plant, and equipment (net) Total assets 30,000 80,000 85,000 70,000 100,000 595,000 960,000 50,000 315,000 $540,000 Liabilities and Shareholders' Equity Liabilities Current liabilities Non-current liabilities 63,500 245,000 308,500 51,000 65,000 116,000 65,000 70,000 135,000 Total liabilities Shareholders' equity 16,500 235,000 651,500 $960,000 Common shares Retained earnings 319,000 180,000 499,000 $615.000 275,000 130,000 405,000 $540,000 Total shareholders' equity Total liabilities and shareholders' equity COLINAS CORPORATION Income Statement Year Ended December 31 Less: Sales returns and allowances Net sales Cost of goods sold Gross profit Operating expenses Profit from operations Interest expense Profit before income tax Income tax expense Profit 2015 $950,000 60,000 890,000 490,000 400,000 266,000 134,000 2014 $840,000 40,000 800,000 450,000 350,000 260,000 90,000 8,750 106,250 21,250 85,000 81,250 16,250 65,000