Analyzing a company for Its Investment Potential In its annual report, WRS Athletic Supply, Inc., includes the following five-year financial summary. WRS ATHLETIC SUPPLY, INC. Five-Year Financial Summary (Partial adapted) data 2010 2011 5137,634 17% 2015 2014 2013 2012 52443524 5217799 $191,329 516,013 12% 14% 16% 20% 5% 6% 5% 2,001 1.873 1.78 1.615 191,838 171,562 150,255 129,664 9% 1,391 108,725 41,236 (Dollar amounts in th e Net sales Net sales increase Domestic comparative store sales increase Other income-net Cost of sales Operating, selling, and general and administrative expenses Interest Interest expense Interest income Income tax expense Net income Per share of common stock Net income 36,356 27,408 31,679 22,516 1,045 803 1,063 (138) (189) 1,357 (171) 3,897 6671 1,383 (188) 3.92 .295 (204) 3338 5,377 2,740 44430 8,039 1.49 1.81 0.10 1.41 0.24 1.21 0.20 0.99 0.16 0.25 Divided $16.497 Financial Position Current assets, excluding inventory Inventories at LIFO cost Property, plant, and equipment, net Total assets Current liabilities Long-term debe Shareholders' equity Financial Ratios Acid-test ratio Rate of return on total asets Rate of return on shareholders' equity $ 30,483 24,891 51,904 94,685 32,617 22,731 39,137 $ 27,878 22.614 45,750 83,527 27,282 21,143 35.102 $ 26,555 $ 24,356 21.442 19,793 40,934 35,969 78,130 70,349 28,949 25,503 17,838 18712 11.343 25.834 $ 21,132 17,076 25.973 49,996 16,762 12,122 21,112 09 0.9 10.3% 21.6% 1.0 9,9% 20.1% 10,3% 22.0% 0911.3 10,7% 22.9% 22.4% Requirement 1. Analyze the company's financial summary for the fiscal years 2011-2015 to decide whether to invest in the common stock of WRS. Include the following sections in your analysis, and fully explain your final decision. a. Trend analysis for net sales and net income (use 2011 as the base year). b. Profitability analysis. c. Evaluate the ability to sell inventory (WRS uses the LIFO method). d. Evaluate the ability to pay debts. e. Evaluate the dividends