Financial data for Industrial Inc follows: ($ in thousands) Year 1 $160,835 $141,829 Year 2 $274,219 $209,628 -$257,981 Cash flow from operations -$ 35,831 -$ 12,538 Sales Cost of goods sold Net income --$91,432 Balance Sheet Cash Marketable securities $236,307 $209,670 $164,952 $ 22,638 Accounts receivable $ 12,645 $ 21,655 Inventories $ 3,971 Total current assets $462,593 $ 40,556 $249,801 Accounts payable $ 17,735 $ 13,962 Accrued liabilities $ 27,184 $ 76,596 Total current liabilities $ 44,919 $ 90,558

a. Calculate the current and quick ratio at the end of each a year. How has the company's short-term liquidity changed over this period?

b. Assuming a 365-day year for all calculations, compute the following: 1. The collection period each year based on sales. 2. The inventory turnover, and the payables period each year based on cost of goods sold. 3. The days' sales in cash each year. 4. The gross margin and profit margin each year.

c. What is your interpretation of the company's performance?