Balance Sheets Triumph's Companies Balance Sheet May 31, 2024 and 2023 Assets Liabilities 2024 2023 2024 2023 Cash 2,300 $ 1,800 Total Current Liabilities 22,000 $ 13,100 Short-term Investments 26,000 11,000 Long-term Liabilities 12,300 11,200 Accounts Receivable 7,600 5,600 Total Liabilities 34,300 24,300 Merchandise Inventory 7,000 8,200 Stockholders' Equity Other Current Assets 11,000 2,100 Common Stock 13,000 13,000 Total Current Assets 53,900 28,700 Retained Earnings 36,600 20,400 30,000 29,000 All Other Assets Total Equity 49,600 33,400 83,900 $ 57,700 Total Assets Total Liabilities and Equity 83,900 $ 57,700 - Income Statement Triumph's Companies Income Statement Years Ended May 31, 2024 and 2023 bone 2024 2023 Net Sales Revenue $ 46,500 $ 44,700 Cost of Goods Sold 20,800 25,500 Interest Expense 300 280 (Rou All Other Expenses 5,800 6,500 $ 19,600 $ 12,420 Net Income Requirements 1. Compute the debt ratio and the debt to equity ratio at May 31, 2024, for Triumph's Companies. 2. Is Triumph's ability to pay its liabilities strong or weak? Explain your reasoning. - Triumph's Companies, a home improvement store chain, reported the following summarized figures: Click the icon to view the income statement.) (Click the icon to view the balance sheets.) Triumph's has 20,000 common shares outstanding during 2024. Read the requirements Requirement 1. Compute the debt ratio and the debt to equity ratio at May 31, 2024, for Triumph's Companies. Begin by selecting the formula to calculate Triumph's Companies' debt ratio. Then enter the amounts and calculate the debt ratio for 2024. (Round the ratio to one tenth of a percent, XX%.) Debt ratio Begin by selecting the formula to calculate Triumph's Companies' debt to equity ratio. Then enter the amounts and calculate the debt to equity ratio for 2024. (Round the ratio to two decimal places, X.XXX) Debt to equity ratio Requirement 2. is Triumph's ability to pay its abilities strong or weak? Explain your reasoning. (Assume the following industry averages: debt ratio: 60%, debt to equity ratio: 2.23.) The company's ability to pay its liabilibes appears since the debt ratio is fairly