Case Questions:

compare Lakeside calculations to the industry averages provided below:

RATIOS INDUSTRY AVERAGE 2008 LAKESIDE 2008

Current ratio 1.73.................................................................. 1.36

# Days inventory on hand 65 ...................................................................100.52

Receivables collection period 11 .......................................................................24.71

Debt-to-total assets 13% .....................................................................75%

Times interest earned 30 times ........................................................................2.79 times

Profit Margin 2.93% ......................................................................2.27%

Return on Assets 6.09% ......................................................................6.73%

** What is your overall assessment of the comparison of the ratios for Lakeside in 2008 as compared with the industry average?