Considering the ratios and industry averages, answer following questions:

a)Would you give a long-term loan to this company? Why?

b)Would you invest in this company? Why?

2019 (96) 0.81 2018 (90) 0.82 2017 (14) 0.97 Industry Averages Ratios P/E Ratio Market to Book Ratio 2019 17.73 3.84 2018 15.96 1.34 2017 28.29 1.62 2016 19.52 1.79 0.86% 1.49% 1.93% 0.79% 12.10% 20.69% 18.94% 9.17% 8.62% 16.52% 16.30% 8.16% Profitability Measures Return on Assets 12.55% Return on Capital 17.48% Return on Equity 19.99% Operating Profit Marg 21.90% 8.96% 18.81% 11.30% 17.51% 8.11% 19.30% 13.14% 15.78% 10.64% 23.95% 14.10% 21.23% 1.09 3.87 94.39 3.79 96.27 1.32 4.02 90.86 5.25 69.56 1.06 4.42 82.54 6.35 57.44 1 Performance Measures 2 Market Value Added Market Value of Equity - Book Value of Equity 3 Market to Book Ratio Market Value of Equity /Book Value of Equity 4 Profitability Measures 5 Return on Assets AT Operating Income / Total Assets 6 Return on Capital AT Operating Income / (LT Debt + Equity) 7 Return on Equity Net Income / Equity 8 Operating Profit Margin AT Operating Income / Sales 9 10 Efficiency Measures 11 Asset Turnover Sales/Total Assets 12 Receivables Turnover Sales / Receivables 13 Average Collection Period Receivables / Daily sales 14 Inventory Turnover COGS / Inventory 15 Days in Inventory Inventories / Daily COGS 16 17 Leverage Measures 18 Long term Debt Ratio LT Debt / (LT Debt + Equity) 19 LT Debt to Equity Ratio LT Debt / Equity 20 Total Debt Ratio Total Liabilities / Total Assets 21 Times Interest Earned EBIT / Interest payments 22 Cash Coverage Ratio (EBIT + Depreciation) / Interest payments 23 24 Liquidity Measures 25 Current Ratio Current Assets / Current Liabilities 26 Quick Ratio (Cash + Marketable Securities + Receivables) / Current Liabilities 27 Cash Ratio (Cash + Marketable Securities) / Current Liabilities 28 29 Stock Price (end of year) 4.00 30 Market Value of Equity 423.28 31 Efficiency Measures Asset Turnover Receivables Turnover Average Collection Pe Inventory Turnover Days in Inventory 0.66 6.48 56.33 6.20 58.87 0.57 3.82 242.38 4.69 92.17 0.55 2.69 117.94 6.80 61.59 0.53 3.47 114.29 5.20 77.83 4.35% 4.55% 45.07% (11.71) (13.87) 2.56% 2.63% 43.01% 13.75 13.99 4.08% 4.25% 49.93% 24.04 24.53 Leverage Measures Long term Debt Ratio LT Debt to Equity Rat Total Debt Ratio Times Interest Earned Cash Coverage Ratio 0.284 0.183 0.538 1.289 1.45 0.18 0.27 0.41 2.54 2.81 0.23 0.29 0.37 6.37 2.96 0.17 0.28 0.33 4.51 5.08 3.37 294.75% 176.25% 3.35 186.41% 25.92% 2.07 133.04% 23.95% Liquidity Measures Current Ratio Quick Ratio Cash Ratio 1.70 1.39 0.24 1.49 0.54 0.46 1.57 0.71 0.53 1.98 0.82 0.53