Exercise 12-5 Evaluate risk ratios (LO12-3) The 2018 income statement of Adrian Express reports sales of $15,960,000, cost of goods sold of $9,600,000, and net income of $1,600,000. Balance sheet information is provided in the ollowing table. ADRIAN EXPRESS Balance Sheels December 31, 2018 and 2017 2018 201 Curment assets: 600,000 760,000 1,400,000 1,000,000 800,000 1,400,000 4800,000 4,240,000 Accounts receivable Long-9erm assets Total assets S 8.600,000 $7.400,000 Liabilities and Stockholders' Equity Cument iabilities Long-torm labities 2.020,000 $1.660,000 2,300,000 2400.000 2,000,000 2000.000 2 280.000 340.000 Retained earmings Total labliies and stockholders equity $8,600,000 $7,400 000 Industry averages for tfolowing risk ratios are as follows Average collection period Average atysmemory 25 days 60 days Debt to 7