A Income Statement & Balance sheet are provided below.

This is a problem where you

calculate the ratios in excel format, determine what each ratio means and, as well as,

direction of risk and profitability. (Take your time, this is one question seperated into parts). The questions are under this reponse, Thank you.

P12-6B Income statement and balance sheet data for The Athletic Attic are provided below. THE ATHLETIC ATTIC Income Statements For the years ended December 31 2022 $10,400,000 2021 $8,900,000 5.450.000 3,450,000 6,800,000 3.600,000 Net sales Cost of goods sold Gross profit Expenses Operting expenses Depreciation expense Interest expense Income tax expense Total expenses 1,600,000 1.600.000 200,000 210,000 40,000 50,000 400,000 360,000 2.240,000 2.220,000 Net income S 1.360,000 $1,230,000 THE ATHLETIC ATTIC Balance Sheets December 31 2022 2021 2020 Assets Current assets: Cash $225,000 $ 164,000 $ 214,000 Accounts receivable 990,000 810,000 Inventory 1.725,000 790.000 1.405.000 110,000 1,075,000 85,000 Supplies 130.000 Long-term assets: Equipment Less: Accumulated depreciation 1,150.000 1,100,000 (600,000) $3,570.000 1,150.000 11.420.000) (210.000 Total assets $3.199,000 $3,124,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 175.000 $ 115,000 $ 91,000 Interest payable 4,000 0 5.000 40,000 40,000 31.000 Income tax payable Long-term liabilities: Notes payable Stockholders' equity: 500.000 600,000 600,000 Common stock 600,000 700.000 700,000 Retained earnings 2,251,000 1.744,000 1.697,000 Total liabilities and stockholders' equity $3.570,000 $3.199.000 $3.124.000 Required: Page 1. Calculate the following risk ratios for 2021 and 2022: a. Receivables turnover ratio. b. Inventory turnover ratio. c. Current ratio. d. Debt to equity ratio. 2. Calculate the following profitability ratios for 2021 and 2022: a. Gross profit ratio. b. Return on assets. c. Profit margin d. Asset turnover. 3. Based on the ratios calculated, determine whether overall risk and profitability improved from 2021 to 2022