Direction: Review the ratios provided. (Note that there are two inventories to consider for the company: Fuel and expendable parts. The ratios provided ONLY take fuel into account.)

Identify each of the following ratios that are provided in the spreadsheet for the year 2017, and provide an explanation of its meaning, comparable to other years:

1. Debt to Asset Ratio

2. Interest Coverage

3. Profit Margin

Dec. 31, 2017 Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2014 LIQUIDITY RATIOS Current ratio (times) Quick ratio (times) Average payment period (days) 0.42 0.27 183.41 0.49 0.35 181.43 0.52 0.31 151.15 0.54 0.33 ASSET MANAGEMENT RATIOS Total asset turnover (times) Fixed asset turnover (times) Average collection period (days) Inventory turnover (times) 0.77 1.55 19.65 6.26 0.77 1.63 18.80 9.89 0.77 1.77 19.36 17.27 0.75 1.84 20.77 21.85 Fuel Only FINANCIAL LEVERAGE RATIOS Total debt to total assets Equity multiplier (times) Interest coverage (times) 73.90% 3.83 15.44 76.03% 4.17 17.92 79.58% 4.90 16.22 83.68% 6.13 3.39 PROFITABILITY RATIOS Operating profit margin Net profit margin Operating return on assets Return on total assets Return on equity 14.82% 8.67% 11.47% 6.71% 25.72% 17.54% 11.03% 13.56% 8.53% 35.59% 19.17% 11.12% 14.68% 8.52% 41.71% 5.47% 1.63% 4.08% 1.22% 7.48%