A.This firm is not making a profit.

B.The firm does not seem to be generating sufficient cash flow to meet its interest obligations.

C.There is insufficient information to evaluate if the firm is meeting its interest obligations.

D.The firm seems to be generating sufficient cash flow to meet its interest obligations.

a. The firm seems to have adequate liquidity, but insufficient capital.

b. The firm has insufficient liquidity and sufficient capital. c. The firm has sufficient liquidity and insufficient capital. d. The firm seems to have insufficient liquidity and insufficient capital

20x1 20x2 20x3 Current Ratio 1 to 2.21 2.20 2.36 Acid Test 1 to 0.29 0.28 0.32 Credit Given (days) 5.95 5.97 6.14 Credit Taken (days) 14.41 14.42 11.84 Stock Turnover (days) 84.07 81.43 75.57 5.4% 7.3% 7.5% 2.6% 4.9% 4.7% 1.97 3.08 2.67 Gross margin Net margin Interest Cover (times) Net Gearing % per $1 of equity Net working assets to sales % 62% 57% 67% 15% 14% 14% Retained Profits to sales 0.7% 3.0% 2.8% Given the information above