Using the financial statements of Jet Boat Ltd., calculate the 13 basic ratios found in this chapter. Comment briefly on the ratios that might be worth further investigation. Explain why.

Current assets:
JET BOAT LTD.
Balance Sheet
December 31,2015
Assets
Cash . . . ........ . ... ... .. .. . . .. . ....... ................$ 40,000
Marketable securities .. ... ... . . .. .. . ... . ... ........85,000
Accounts receivable (net)..................................100,000
Inventory ............... .. ... ....................................375,000
Total current assets .. .... . . . .. .. . ... . ... ...........600,000
Net plant and equipment. ... . .. . . .. . ....... ........600,000
Total assets..................................................$ 1,200,000

Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable .. . .. ..... . . . .. .. . ... . ... .....$ 100,000
Bank loans..........................................................125,000
Accrued expenses .... ... .. . . . .. .. . ... . ... ...........25,000
Total current liabilities.........................................250,000
Long-term liabilities:
Bonds payable*...................................................500,000
Total liabilities.....................................................750,000
Shareholders' equity:
Common stock.....................................................350,000
Retained earnings ....... .. ....... . ..........................100,000
Total shareholders' equity ............ . .....................450,000
Total liabil ities and shareholders' equity.........$ 1,200,000

JET BOAT LTD.
Income Statement
Year ending December 31, 2015
Sales (on credit)...............................$2,900,000
Less: cost of goods sold.....................2,465,000
Gross profit. .......... .. .. .. ........... . . ......435,000
Sell ing and administrative expenses ...250,000
Operating profit (EBIT) ... ... .. ........  ... .185,000
Interest expense ..... . .. ... . . . . . . ... . ... .94,000
Earnings before taxes (EST)....................9 1,000
Taxes (20%) .......... .. .. .. ... .....................18,200
Earnings after taxes (EAT) . . ... . .. . ... .$ 72,800