Condensed balance sheet and income statement data for Los Colinas Corporation are presented next.

\section*{Instructions}
Compute these values and ratios for 1997 and 1998 :

(a) Profit margin ratio

(c) Working capital

(b) Return on assets ratio

(d) Current ratio

(e) Debt to total assets ratio

(f) Based on the ratios calculated, discuss briefly the improvement or lack thereof in the financial position and operating results from 1997 to 1998 of Los Colinas

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Assets Cash Receivables (net) Other current assets Investments Plant and equipment (net) Total assets LOS COLINAS CORPORATION Balance Sheet December 31 1998 1997 1996 $ 40,000 $ 24,000 $ 20,000 70,000 45,000 48,000 80,000 75,000 62,000 90,000 70,000 50,000 450,000 400,000 360,000 $730,000 $614,000 $540,000 Liabilities and Stockholders' Equity Current liabilities $ 98,000 $ 75,000 $ 70,000 Long-term debt 97,000 75,000 Common stock, $10 par 400,000 340,000 65,000 300,000 Retained earnings 135,000 124,000 105,000 Total liabilities and stockholders' equity $730,000 $614,000 $540,000