DuPONT ANALYSIS A firm has been experiencing low profitability in recent years. Perform an analysis of the firm's financial position using the DuPont equation. The firm has no lease payments but has a $2 million sinking fund payment on its debt. The most recent industry average ratios and the firm's financial statements are as follows: Balance Sheet as of December 31, 2018 (Millions of Dollars) \begin{tabular}{|c|c|c|c|} \hline Cash and equivalents & $78 & Accounts payable & $45 \\ \hline Accounts receivable & 66 & Other current liabilities & 11 \\ \hline Inventories & 159 & Notes payable & 29 \\ \hline \multirow[t]{3}{*}{ Total current assets } & $303 & Total current liabilities & $85 \\ \hline & & Long-term debt & 0 \\ \hline & & Total liabilities & $135 \\ \hline Gross fixed assets & 225 & Common stock & 114 \\ \hline Less depreciation & 78 & Retained earnings & 201 \\ \hline Net fixed assets & $147 & Total stockholders' equity & $315 \\ \hline Total assets & $450 & Total liabilities and equity & $450 \\ \hline \end{tabular} a. Calculate the ratios you think would be useful in this analysis. b. Construct a DuPont equation, and compare the company's ratios to the industry average ratios. c. Do the balance sheet accounts or the income statement figures seem to be primarily responsible for the low profits? d. Which specific accounts seem to be most out of line relative to other firms in the industry