Determine the effect of the following scenario on each of the following ratios: - Cash Flows to Sales Ratio Return on Assets Ratio Return on Equity Ratio Deal ONLY with the facts provided in the scenario, and determine the direct effects of the scenario ONLY in the current period. Assume no effect on the market price of stock. Assume the Current Ratio prior to any scenario was 2.1. Cash Flows to Sales Ratio - (Net Cash Flows from Operating Activities) / (Net Sales) Return on Assets Ratio - (Net Income) / (Average Total Assets) Return on Equity Ratio = (Net Income) / (Average Stockholders' Equity) Lengel's Dairy purchased inventory on account. This inventory was not sold in the current period. Murple Choice The Cath Flows to Sales Ratio will increase, the Return on Assets Ratio wil decrease, and the Return on Equity Ratio wil decrete O No effect on the Cash How to Sated ratio, the titum on Amets fate wil increase, and no effect on the return on outy Ratio The Cash Flows to Sales Ruto will decrease the feturn on Assets Statio waliocre, and the Return on Eauty Patio will increase No effect on the Cash Flows to Sales Reto the Return on Asset Rutie wil decrease, and no effect on the Return on quity