Comparative financial statement data of Sanfield, Inc. follow:

• Market price of Sanfield?s common stock: $81.26 at December 31, 2011, and $67.20 at December 31, 2010.
• Common shares outstanding: 10,000 during 2011 and 9,000 during 2010.
• All sales on credit.

Requirements R1. Compute the following ratios for 2011 and 2010:

R2. Decide (a) whether Sanfield?s ability to pay debts and to sell inventory improved or deteriorated during 2011 and (b) whether the investment attractiveness of its common stock appears to have increased or decreased.