Analyze the overall financial situation from a cross-sectional viewpoint. Compare each companys ratios with the industry average. What are the strengths and weaknesses of each company? Which company is best to invest in and why? (3 marks)

Financial ratio	Industry Average
Current ratio	2
Quick ratio	1.91
Inventory turnover	8.12 times
Average age of inventory	42 days
Average collection period	30 days
Average payment period	50 days
Asset turnover	0.85
Debt ratio	50%
Debt to equity ratio	90%
Times interest earned ratio	5 Times
Gross profit margin	32%
Operating profit margin	14%
Net profit margin	8%
ROA	7%
ROE	12%