5. Based on the following information for XYZ Corporation, answer each question (calculate for year 2020). Assume that price per share is $12.5 and number of shares is 75. 2019 2020 Income Statement Sales Cost of goods sold Expenses Depreciation 9,400 4,200 1,200 1,000 3 EBIT Interest Taxable Income Taxes Net Income Dividends 3,000 700 2,300 600 1,700 800 Balance Sheet Current assets Net fixed assets 12,000 13,000 13,800 14,200 EBIT Interest Taxable Income Taxes Net Income Dividends 3,000 700 2,300 600 1,700 800 Balance Sheet Current assets Net fixed assets Total Assets (TA) Current liabilities Long-term debt Total Liabilities (TD) Common stock Retained Earnings Total Equity (TE) 12,000 13,000 25,000 6,800 7,000 13,800 6,000 5,200 11,200 13,800 14,200 28,000 7,100 7,600 14,700 6,400 6,900 13,300 a. Calculate XYZ's financial ratios for the following items and briefly explain what the ratio is measuring. Then, compare the ratios for XYZ to the industry average ratios. Indicate whether or not XYZ is in a better financial position. 1) Quick Ratio (assume inventory = $800) (industry average = 1.15) 2) Debt-to-Equity (industry average = = 0.95) 3) Days Sales in Inventory (industry average = 76 days) 4) Times Interest Earned (industry average = 2.25) 5) Market-to-Book Ratio (industry average = 1.25) 6) Du Pont Identity