ANNUAL INCOME STATEMENTS (IN $ THOUSANDS) 2015 2016 $450 $375 -225 -270 180 op Net sales Less: Cost of goods sold Gross profit Less: Operating expenses Less: Depreciation Less: Interest Income before taxes Less: Income taxes Net income Cash dividends TOU Tea $ 55 $ 17 $ 70 $ 20 BALANCE SHEETS AS OF DECEMBER 31 (IN $ THOUSANDS) 2016 2015 $ 39 50 $ 16 80 Cash Accounts receivable Inventories Total current assets Gross fixed assets Less accumulated depreciation Net fixed assets Total assets Accounts payable Bank loan Accrued liabilities Total current liabilities Long-term debt Common stock Retained earnings Total liabilities and equity 123834931 A. Using average balance sheet account data, calculate the (a) current ratio, (b) quick ratio, (c) total- debt-to-total-assets ratio, and (d) the interest coverage ratio for 2016. B. Repeat the ratio calculations requested in Part A separately for 2015 and 2016 using year-end bal- ance sheet account data. What changes, if any, have occurred in terms of liquidity and financial leverage