Answer whats in orange

Ratio Analysis: Workings 2016 2015 Industry for 2016 Ratios Formula Average Liquidity Current Ratio Total Current 1,405,000/ 2.3 2.1 2.7 602,000 Assets / Total Current Liabilities Asset Management Inventory Turnover Cost of Goods 3,680,000 4.1 3.7 7.0 Sold Inventories894,000 (365 x Accounts (365 x Sales Days Sales Outstanding Receivable)/ 439,000)/ 37.8 32.9 32.0 4,240,000 Fixed Assets Sales/Total Fixed 4,240,0009.8 7.9 13.0 Turnover Assets 431,000 Total Assets Sales Total Turnover 4,240,000 2.3 2.1 2.6 1,836,000 Assets Profitability Profitability 18,408 / | 1,836,000 1.0 % | 5.8 | 9.1% Return on Assets Net Income / Total Assets et income / ( | 18,408 / | 2.2 % | 11.5 | 18.2 % Return on Equity Common Stock+829,710 Retained Earnings) | 7.8 1% | 14.5 % | 3.4 1% Return orn Invested Capital EBIT * ( 1-t ) ] / ( | 58,608 / Notes Payable + |1,710,990 Long Term Debt + Total Equity 18,408/ 4,240,000*1% 100 | 2.6 1% | 3.5% Profit Margin Net Income / 0.4 Sales Debt Management 881,280/ 1,710,990 | 51.5 | 46.1 | 5096 |96 | 96 Debt to Capital Ratio Market Value P / E Ratio Market Price / EPS Given 15.42 5.65 6.0 9 e. Assess Corrigan's market value ratios and determine how its valuation compares with peers 00 and how it has changed over time 06. Calculate Corrigan's ROE as well as the industry average ROE using the DuPont equation. ROE- PM x TA Turnover x Equity Multiplier 10 2016 2015 3.50% 2.60 2.00 12, Industry Avg. 13 18.20% 14 From this analysis, how does Corrigan's financial position compare with the industry 15 average numbers? 16 118 119 120 121 122 123g. What do you think would happen to its ratios if the company initiated cost-cutting measures that 124 allowed it to hold lower levels of inventory and substantially decreased the cost of goods sold? No 25 calculations are necessary. Think about which ratios would be affected by changes in these 126 two accounts. 127 128 129 130